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2017 (3) TMI 860 - CESTAT MUMBAIImposition of interest and penalty - delayed payment of tax - appellant claims that they were working under N/N. 8/2003 they were entitled to make payment of duty on monthly basis by 15th of the following month, no interest should be demanded - Held that: - appellants were entitled to N/N. 8/03 dated 01.03.2003. However, they have not availed this exemption and opted for payment of full duty on goods which were eligible for SSI exemption - In terms of rule 8 second proviso,, it is very clear that if the assessee is eligible for exemption and avail SSI exemption then only he is entitled for payment of duty by 5th of following month. In the present case, even though the appellant was entitled for SSI exemption they have not availed the exemption. Therefore this relaxation in the second provision to Rule 8(1) of CER, 2002 is not available to the appellant, they were supposed to pay duty by 5th of following month - the interest demanded is absolutely legal and correct, since the appellant has contravened the provisions of rule 8 by making delayed payment of duty - penalty of ₹ 5000 imposed by the lower authorities is in terms of Rule 27 of CER, 2002 - appeal dismissed - decided against appellant.
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