Home Case Index All Cases Central Excise Central Excise + AT Central Excise - 2009 (9) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2009 (9) TMI 402 - AT - Central ExciseExport Oriented unit- The appellants are 100% EOU, registered manufacturer under the provisions of Central Excise Rules, 1944, and have bonded warehousing licence under the provisions of the Customs Act, 1962 to manufacture under bond a product being Instant Tea Powder falling under Chapter Heading 2101.20 of the Central Excise Tariff Act, 1985. The Revenue Department alleged that appellants had exported the said product without payment of cess payable in terms of Section 3(n) of the Tea Act, 1953. The adjudicating authority confirmed the demand of duty as well as imposed penalty, as described in the table hereinabove. By the impugned order, the Commissioner (Appeals) dismissed the appeals as far as they relate to the merits of the case and also confirmed the penalties Being aggrieved, the appellants have preferred the present appeals. Held that- . It is well settled that once the Department issues the show cause notice for a particular period, the Department normally thereafter on the same set of facts and grounds cannot issue second show cause notice by invoking the extended period of limitation relating to earlier period thereto. The appellants are justified in contending that the respondents were not entitled to initiate proceedings on the basis of show cause notice dated 2nd March, 2001. As regards the issue relating to penalty, held that- as rightly pointed out by the appellants, the dispute related to the interpretation of statutory provisions and it did not disclose intension to evade the payment of duty and, therefore, there was no justification for imposition of penalty in the matter. Hence, the penalty imposed under the impugned order is liable to be set aside. Thus, duty demanded thereunder and also interest, are confirmed. All the appeals are disposed of in the above terms.
|