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2023 (7) TMI 713 - AT - Central ExciseInterest payable on differential duty - short payment of duty - inter-unit transfers - recipient units captively consumed the goods in further manufacture of their finished dutiable goods - revenue neutrality - HELD THAT:- Admittedly the Appellant has correctly assessed the value on which duty was paid as the goods were transferred to their sister unit under same management. The said payment of duty is also in accordance with Circular No. 692/8/2003-CX dated 13.02.2003 read with Trade Notice No. 171/2003 dated 26.08.2003 issued by the Hyderabad Commissionerate. Thus, the Appellant has paid the correct duty as per the scheme of the Act read with the Rules - further no case of short payment of duty is made out. It is only when the Appellant obtained fresh cost certificate for the next six months period, and found that there is some escalation in the cost, has suo moto deposited the differential duty though they were not under obligation to pay any additional amount. Further, under the facts and circumstances, whatever duty the Appellant would have paid was available to their sister unit as Cenvat credit. Thus, the situation is wholly revenue neutral. Impugned order set aside - appeal allowed.
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