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2019 (11) TMI 1197 - AT - Central ExciseInterest on delayed refund - time limitation for calculation of refund amount - appellant claims interest on delayed refund i.e. from the date of deposit till payment thereof - Section 35FF of the Central Excise Act, 1944 - section 243 Income Tax Act, 1961 - HELD THAT:- On-going through the provisions of both Income Tax Act, 1961 and Central Excise Act, 1944, the interest on delayed refund is payable after expiry of 3 months from the date of granting refund or from the date of communication of order of the appellate authority, which are pari-materia. The decision of Hon‟ble Apex Court in the case of SANDVIK ASIA LIMITED VERSUS COMMISSIONER OF INCOME-TAX AND OTHERS [2006 (1) TMI 55 - SUPREME COURT] is law of land, in terms of Article 14 of the Constitution of India which is to be followed, wherein the Hon‟ble Apex Court has answered the issue holding that the assessee is entitled to claim interest from the date of payment of initial amount till the date its refund. Thus, the appellants are entitled to claim the interest on delayed refund from the date of deposit till its realization - the appellants are entitled to claim interest from the date of payment of initial amount till the date its refund @ 12% per annum - appeal allowed - decided in favor of appellant.
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