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2015 (9) TMI 1492 - AT - Central ExciseForfeiture of the facility to pay duty on monthly basis under Rule 8 (3A) - Held that: - The original order states that the respondent was liable to pay a Central excise duty of ₹ 1,53,14,168/- but had paid the duty of ₹ 1,22,52,128/-. There is no clarity as to whether the nonpayment of duty is after the correct self assessment made under Rule 6 by the assessee or is there a short payment of correct duty not assessed by the assessee. The Ld. Commissioner in his appellate order states that lower authority is well within his rights to forfeit the facility even if the assessment has been done incorrectly and there is short payment of duty on that count. We find such conclusion is without support of the legal provisions. If there is an incorrect assessment resulting in short payment of duty the correct course of action is to demand such short payment in terms of Section 11 A. Such short payment due to incorrect assessment cannot automatically result in action under Rule 8 (3A). Though the respondent admitted that clerical error resulted in their short payment it is not clear whether duty liability and payment were reflected in the assessment documents - appeal dismissed.
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