Home Case Index All Cases Central Excise Central Excise + AT Central Excise - 2016 (10) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2016 (10) TMI 953 - AT - Central ExciseImposition of penalty - CENVAT credit reversed - structural items used for fabrication of support structures for capital goods such as overhead crane, wire drawing machinery etc - payment of duty with interest on demand - whether the imposition of penalty justified on the ground that wrongful CENVAT credit availed alleging suppression of facts and invoking the extended period of limitation? - Section 11A - Held that: - once the duty disputed is paid alongwith the interest payable under Section 11(AA), no show cause notice is to be served on the assessee, however, it is to be noted that this waiver of penalty is entitled only in those cases where there is no allegation of fraud, suppression or collusion. In the present case, I find that such allegations have been made in the show cause notice issued to the appellant. However, in the light of the fact that the availment of Cenvat credit on structural items has been in dispute for a long time, allegations of suppression cannot be made against the appellant. Under such circumstances, the benefit of waiver of penalty provided under Section 11A (2) is extendable to the appellant - appeal allowed - decided in favor of appellant.
|