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2023 (3) TMI 292 - AT - Central ExciseWrong invocation of extended period of limitation while issuing the show cause notice - appellant had been manufacturing and clearing Magnesium Sulphate, however, without payment of central excise duty despite that the said product was falling under Chapter heading No. 28332100, neither any duty was paid nor the clearance was declared with the department - HELD THAT:- Since the time of issuance of the show cause notice, the department has observed that there is not merely a failure of paymet of duty by the appellant while clearing the manufactured Magnesium Sulphate but there has no declaration about the said manufacture and the clearance thereof. The clearances have not been shown by the assessee in the monthly ER-1 returns. The adjudicating authority below has recorded the findings about invoking the extended the period in para 6.4 of the order under challenge with the specific mention that the product in question was not declared by the appellant in his statutory returns. It is noted that the Learned counsel's arguments are that there is no evidence produced by the Department highlighting the alleged suppression of facts. In this context, it may be pertinent to point out that with the introduction of Self Removal Procedure, the Central Excise administration moved to a trust based tax administration for collection of the said indirect tax. Self assessment of goods and filing of returns are some of the initiatives wherein the Assessee assesses the goods himself and determines the duty and clears the goods - the appellant had failed to declare these goods in his returns and had failed to pay the duty. Therefore, the suppression charges alleged by the Department stand proved. The plea of exemption under notification dated 17.03.2012 cannot be an act of bona fide belief, as the product manufactured by the appellant is not mentioned therein. Had there been no scrutiny of appellant’s record by the department, the fact of non-declaration by the appellant would not have came to notice. The show cause notice is held to have rightly invoked the extended period of limitation - Appeal dismissed.
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