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2020 (3) TMI 998 - AT - Central ExciseInterest on delayed refund - whether the appellant is entitled for interest on the delayed payment of refund either at the rate of 6% or at the rate of 12% of the amount of refund? - Section 11BB of CEA - HELD THAT:- Perusal of the section leaves no doubt that the assessee is entitled to interest if the payment had not been paid to him within 3 months of finalization of the claim at such rate as is prescribed under the law. The Section itself records that the interest be given at such rate, which should not be below 5%, nor should be exceeding the rate at 30% per annum - Similar is the intention of Legislature apparent from Section 35FF of Central Excise Act, 1944. Therefore, as per statute itself, the interest rate may vary within the range of rate at 5% to 30%. The notification as relied upon cannot supersede the statute. Keeping in view that the order under challenge is silent about any reason for reducing the rate from 12% to 6% except relying upon the Notification No. 67/2003 it is held that the appellant is entitled for the interest at the rate of 12% - Appeal allowed - decided in favor of appellant.
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