Home Case Index All Cases Central Excise Central Excise + HC Central Excise - 2013 (9) TMI HC This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2013 (9) TMI 697 - PUNJAB & HARYANA HIGH COURTProduction capacity based duty - Abetment of Duty – Non operation of Pan Masala Packing Machine for a fraction of month - closure of unit - Pan Masala Packing Machine (Capacity determination and collection of duty) Rule, 2008 – Held that:- Admittedly, there was no production for a period of 36 days, i.e., from 01.4.2011 to 5.4.2011 including from 1.4.2011 to 5.4.2011. - Reference by counsel for the appellant to Rules 7 and 9 of the Rules in support of his contention, that as duty liability was determined for each month, abatement cannot be granted for a fraction of a month was misplaced as no such intent was discernible from a reading of these rules - Rule 7 of the Rules merely provides that duty payable shall be calculated for a particular month and Rule 9 of the Rules merely prescribes that monthly duty payable on notified goods, shall be paid by the 5th day of the same month. These rules cannot be pressed into service by the revenue in support of its view that abatement cannot be claimed for a fraction of a month - This apart, reference to a continuous period of 15 days or more under rule 10 of the Rules relating to the right of an assessee, pertains to its obligation, to inform the Deputy Commissioner or the Assistant Commissioner of Central Excise, of closure of machines cannot be read in isolation to raise an inference that if closure in a month was less than 15 days a party shall not be entitled to abatement of duty – Decided against revenue.
|