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2020 (1) TMI 312 - AT - Central ExciseDemand of interest on differential duty - valuation under cost construction method - at the time of the removal the cost of manufacturing not available, they were paying duty on the provisional value and after the finalization of the books of the companies, they were calculating the exact cost of the manufacture and were paying a differential duty - Time limitation - HELD THAT:- Hon’ble Supreme Court in the case of M/S. STEEL AUTHORITY OF INDIA LTD. VERSUS COMMISSIONER OF CENTRAL EXCISE, RAIPUR [2019 (5) TMI 657 - SUPREME COURT] held that the interest is chargeable from the due date as prescribed in rule 8 of Central Excise Rules, 2002 and not from the payment of differential duty. Therefore, the demand of interest on merit is sustainable, however, the appellant have strongly argued on the limitation. Time Limitation - HELD THAT:- The appellant had practice to pay the duty on provisional value at the time of removal of the goods and only on finalization of books of accounts the actual cost of manufacturing is arrived at and whenever there is a short of value, they were paying the differential duty - there is no suppression of facts and mala fide on the part of the appellants. Accordingly the demand for extended period is not sustainable. Demand set aside on the ground of limitation.
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