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2017 (4) TMI 981 - AT - Central ExciseLiability of interest - delayed payment of duty on molasses - case of appellant is that as the molasses were common inputs for rectified spirit (exempted) and denatured spirit (dutiable) they reversed the proportionate credit in terms of Rule 6 of CCR, 2004 - Department entertained a view, that molasses is not common input for rectified spirit and denatured spirit for the reason that the appellants are manufacturing only rectified spirit from molasses - denial of exemption N/N. 67/95-CE dated 16.03.1995 - Held that: - molasses is a common input for appellant for manufacture of rectified spirit and denatured spirit. Accordingly, appellants are eligible for the exemption under N/N. 67/1995 dated 16.03.1995 - In order to avail the exemption under N/N. 67/95 the appellant has to comply with the procedure prescribed in terms of Rule 6 of CCR. In doing so, it is not practical for appellant to pay duty on molasses at the time of clearance - When the appellants are eligible for benefit of N/N. 67/95 they cannot be compelled to pay interest alleging delay in payment of duty on molasses cleared and used by them - appeal allowed - decided in favor of appellant.
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