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2018 (6) TMI 44 - AT - Service TaxInterest on delayed refund - relevant date - maturity of refund as per the Tribunal order - appellant claims that they are entitled for the interest right from the date of deposit of the amount - Section 11 BB of CEA - principle of restitution not applicable - Held that:- As per Section 11BB, the interest is payable from three months from the date of application. Except the provision of Section 11BB, there is no provision by which the interest can be granted from the date of deposit - This Tribunal, being a creature under the statute of Central Excise Act, cannot go beyond the statutory provision made under that Act. The interest is not payable from the date of deposit, but it is payable only after three months of filing the application - As per provision of Section 11B(5)(B)(ec), the refund becomes matured only as a consequence of the Appellate Tribunal’s order. When the refund itself is not matured prior to the date of Appellate Tribunal’s order, there is no question of interest for the period prior to the date of order. The Apex Court decision in the case of ONGC Ltd. vs. CC [2007 (8) TMI 346 - SUPREME COURT OF INDIA] are factually different and do not apply to the present case. The Hon’ble Supreme Court, under the inherent power of the apex court on the principle of restitution, granted the interest from the date of deposit. However, the statutory provision under the Customs Act i.e. Section 27 of the Customs Act, 1962 has not been considered. The entire case was decided on the principle of restitution - therefore, the facts of the case are entirely different. Larger Bench of this Tribunal in the case of Indian Thermoplastics (P) Ltd. [2003 (12) TMI 84 - CESTAT, NEW DELHI] has held that the relevant date for completion of period for grant of interest is from the date of expiry of three months from the date of receipt of final order of the Tribunal till the date of payment. Therefore, the interest is not payable from the date of deposit. The appellant is not entitled for the interest from the date of deposit of the demand amount - appeal dismissed - decided against appellant.
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