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2017 (12) TMI 150 - AT - Central ExciseAbatement - closure of factory - manufacture of Pan Masala - compounded levy scheme - whether the appellant who were manufacturer of Pan Masala and operating under the compounded levy scheme whether they are entitled to abatement for closure of a part of their factory or some of the machines and not all machines during a particular month? - Held that: - proviso 4 to Rule 9 of PMPM Rules read with Section 3A (2) clause B read with proviso provides for a charging of duty on proportionate basis, in case of alteration of annual production capacity and further the 4th proviso of Rule 9 of the PMPM Rules specifically provides that duty shall be recalculated pro rata on the basis of number of days in that month during which a machine was in operation due to addition or not in operation due to discontinuation and the said proviso specifically provides that an assessee will not be considered to have discharged the duty liability unless the differential duty is paid by the 5th of the following month if any additional duty is payable due to alteration and further provides that if any excess is paid upon recalculating the same shall be refunded to the manufacturer by the 20th of the following month. The statute has provided specific provision for adjustment of duty - also, the appellant is entitled to rebate/refund of the excess duty paid during the period of closure of their packing machine during the month of July, 2009 as admittedly the said machine remain uninstalled for a continuous period of more than 15 days as required under the Rules. The appellant shall be entitled to interest on the amount of refund/ rebate from 20.09.2009 - appeal allowed - decided in favor of appellant.
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