Home Case Index All Cases Central Excise Central Excise + AT Central Excise - 2011 (9) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2011 (9) TMI 873 - AT - Central ExciseInterest demand u/s 11AB - Penalty under Rule 25 of the Central Excise Rules, 2002 - Held that:- It cannot be gainsaid that the duty payments were made under Section 11A(2B) of the Central Excise Act. This is because each payment of differential duty at depot was tacit admission of short-payment of duty at factory gate. The duty short-paid was self-determined by the assessee and voluntarily paid before issuance of any show-cause notice to them - assessee was working under sub-section (2B) of Section 11A of the Act - assessee has a liability to pay interest on the differential duty under Section 11AB. But Explanation 3 protects them from penalty. Though explanation was inserted only in 2010, it is a clarificatory provision having retrospective effect and, therefore, the appellant can claim under it - demand of interest on differential duty is sustained and the penalty is set aside - Decided partly in favour of assessee.
|