Home Case Index All Cases Central Excise Central Excise + AT Central Excise - 2009 (7) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2009 (7) TMI 413 - AT - Central ExciseAppellants defaulted in payment of duty which was required to be paid by 5th of the following month – Duty paid from Cenvat account instead of PLA – Since appellant agrees to pay the duty out of PLA, subject to reversal of entry in Modvat account, permission is given for the same - In terms of Rule 8(3A), the goods cleared in such a way have to be treated as having been cleared without payment of duty and the consequences and penalties as provided in Rule 25 of Central Excise Rules shall follow. As such, it is seen that the penalties provided in terms of Rule 25 of Cenvat Excise Rules, would apply and not Section 11AC, as has been done by Commissioner (Appeals). Keeping in view the overall facts and circumstances of the case, penalty of Rs. 15,000/- originally imposed by the Assistant Commissioner is treated as sufficient. The appellate authority’s order enhancing the penalty to the extent of 100% in terms of Section 11AC is set aside.
|