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2017 (10) TMI 746 - AT - Central ExciseDemand of interest - interpretation of statute - Rule 173G(1)(d) - Held that: - during the relevant period of time, there was no provision in the Central Excise Act to charge interest where duty has been paid before issuance of show-cause notice - in the present case duty has not been determined either under Section 11AA or 11AB of the Central Excise Act, 1944. Section 11AB was amended from 11/05/2011 whereby it has been provided that interest would be liable from the first day of the month succeeding the month in which duty ought to have been paid - The period involved in the present case is prior to the amendment dt. 11/05/2001. Therefore in the present case, the appellant was not liable to pay the interest but he paid the interest in order to settle the audit objection and the same was paid before the issuance of the show-cause notice. The appellants are liable to pay interest on the differential duty liability amounting to ₹ 3,77,833/-. For quantification of the interest on this amount, adjudicating authority will compute the interest liability of the appellant - appeal allowed by way of remand.
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