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2014 (2) TMI 59 - HC - Central ExciseReversal of CENVAT Credit - date of reversal of credit - "on the date of" versus "at the date of" - Assessee removed inputs, on which Cenvat Credit was availed and the credit was not reversed on the date of removal - Interest u/s 11AB - Commissioner (Appeals) held that the duty liability having been paid prior to the issuance of show cause notice, the question of imposing penalty or demanding interest does not arise - Held that:- expression "on the date of such removal" is referable to the rate applicable to such goods and it cannot be understood to mean that the duty should be paid at the time of removal in terms of substituted provisions. The expression "on the date of such removal" stands deleted in the new Sub Rule (4) to Rule 3 of Cenvat Credit Rules,2002 - assessee has paid the duty at the end of the month, i.e., much prior to the 5th day of the following month or in case where the removal had taken place in March before 31st March of the relevant year. In such circumstances, it cannot be said that the there has been delay in payment of duty so as to invoke Section 11AB of the Central Excise Act,1944. Even though the Tribunal has proceeded on the basis that the deposit was made prior to the issuance of show cause notice - assessee has deposited the amount before the issuance of show cause notice, yet essentially the assessee's case falls within the scope of Rule 3(4) r/w Rule 8 of the Cenvat Credit Rules, 2002 - Decided against Revenue.
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