2010 (7) TMI 1018 - AT - Central Excise

Liability of interest - the appellants have reversed the credit taken wrongly before utilization of the same - Held that - similar issue decided in the case of Indo Shell Mould Ltd. Vs. CCE Coimbatore 2010 (3) TMI 512 - CESTAT CHENNAI where in the light of the decision of Ind-Swift Laboratories Ltd. v. UOI 2009 (7) TMI 98 - PUNJAB & HARYANA HIGH COURT it was held that no interest is chargeable - appeal allowed - decided in favor of assessee.

Summary

The Appellate Tribunal CESTAT CHENNAI ruled that interest is not payable when credit is reversed before utilization, citing the case of Indo Shell Mould Ltd. Vs. CCE, Coimbatore. The impugned order was set aside and the appeal was allowed.