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2010 (2) TMI 1053 - HC - Central ExciseWhether the CESTAT committed error in interpreting proviso of Section 11AC of the Central Excise Act, 1944 by offering to an assessee to deposit amount of interest and penalty within 30 days of its order to avail benefit of reduced penalty at 25% of duty, though CESTAT has not re-determined the quantum of duty? Held that:- In the case on hand, since the duty amount has already been paid by the respondent-assessee and if the interest and/or reduced penalty of 25% were not paid by the respondent-assessee, the adjudicating authority may send a communication to the respondent-assessee indicating therein that the particular amount of interest and/or 25% of the penalty of the duty amount is not paid by the respondent-assessee and hence if the assessee wants to avail the benefit of the reduced penalty of 25%, such amount of interest and/or penalty of 25% should be paid within 30 days from the date of receipt of such communication, failing which they would be liable to pay penalty under Section 11AC equivalent to the amount of duty. Since the order passed by the Tribunal is in accordance with the view taken by this Court, there is no question of considering the Circular issued by the Central Board of Indirect Taxes on which reliance was placed by Mr. Ravani. In the above view of the matter, we do not see any substance in this tax appeal and no substantial question of law can be said to have arisen out of the order of the Tribunal. This appeal is, therefore, summarily dismissed
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