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2013 (2) TMI 392 - CESTAT AHMEDABADInterest on the amount of duty liability discharged through cenvat account and later on by cash - Held that:- Assessee was a DTA unit prior to December 2007. In this case, they had procured inputs and capital goods by way of import and also from indigenous sources and had taken CENVAT credit of CVD/Central Excise duty paid thereon. Apparently, it was out of such accumulated credit that the respondent made part-payment of duty on the inputs (imported duty-free under Notification No. 52/2003-Cus.) cleared as such to the DTA unit. It is not deniable that such DTA clearances were made on payment of duty of excise which was calculated in terms of the proviso to Section 3(1) of the Central Excise Act. There is no dispute regarding the amount of duty so paid. According to the appellant, it was customs duty which was paid by the respondent on the DTA clearances. The show-cause notices were issued on this premise. It is settled law that what is paid by a 100% EOU on DTA clearances is duty of excise (for the period of dispute in this case) which is calculated as aggregate of duties of customs which would have been leviable if the same goods had been imported at the relevant time. The duties of customs constitute just a measure of the duty of excise to be paid on the DTA clearance. This legal position was settled by this Tribunal and appellate courts long ago. No overriding decision of any competent court to the contra has been cited. Since the issue involved in the case in hand is now squarely covered by the decision of the Tribunal in MATRIX LABORATORIES LTD. case [2012 (11) TMI 726 - CESTAT, BANGALORE] there cannot be any question of interest on the amounts which has been debited by the appellant through cenvat account, when they cleared the inputs to DTA.
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