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2019 (8) TMI 65 - CESTAT ALLAHABADInterest on delayed refund in terms of Rule 7(5) of the Central Excise Rules, 2002 - finalization of the provisional assessments - HELD THAT:- If any amounts are to be refunded as per the order of finalization of provisional assessment, the same should be refunded along with interest from the first day of the month succeeding the month for which such refund is determined till the date of the refund at a rate which is as prescribed as per the Notification issued under Section 11BB of Central Excise Act, 1944 - The ground taken by Commissioner(Appeals) cannot be justified because here the adjudication proceedings are for finalization of provisional assessment, which is a separate realm governed by Rule 7 of the Central Excise Rules. Interest is either by way of operation of contract or by way of operation of law. When it is by way of operation of law, needs to be paid as per the provisions stated in law, which in this case is Rule 7(5) - the three appeals need to be allowed to the extent of interest that needs to be determined under Rule 7(5) and paid to the appellants - appeal allowed.
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