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2021 (3) TMI 1195 - AT - Service TaxEntitlement to interest in delayed refund - Section 11 BB of the Central Excise Act, 1944 - HELD THAT:- A perusal of the Orders-in Original reveals that the Assistant Commissioner has not granted or even considered the issue of interest under Section 11 BB ibid as correctly pointed out by the Commissioner (Appeals) in the impugned order. But, however, in the impugned order the Commissioner (Appeals) negatives the appellant’s claim for interest terming it as ‘Premature’. The refund in the case on hand was sanctioned by the sanctioning authority after considering the facts and documents available as on the date of such sanction. So, there was no issue made out while sanctioning the refunds; the interest on the said refund which is a consequence of the refund, cannot be denied on flimsy grounds. This aspect when considered in the light of the dictum of the Hon’ble Supreme Court in Ranbaxy Laboratories Ltd. [2011 (10) TMI 16 - SUPREME COURT], leaves no room for any doubt as to the eligibility of the claimant, especially when the refund is sanctioned. Thus appellant is entitled to interest - cases remanded to the file of the Asst. Commissioner/sanctioning authority to workout appropriate interest and sanction the same to the appellant without any further delay, within a period of 3 months of receipt of this order at the concerned Commissionerate - appeal allowed by way of remand.
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