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2018 (2) TMI 534 - AT - Central ExciseDemand of interest on differential duty - finalization of provisional assessment - rule 7(4) of Central Excise Rules, 2002 read with section 11AA of Central Excise Act, 1944 - price variation clause - Held that: - Under rule 7(4) of CER 2002 (as it existed before 1st March 2016), the finalization of provisional assessment yielding differential duty would obligate the assessee to pay interest between the date of such determination and the date of payment. A plain reading of this provision does not confer jurisdiction to demand interest from the date of invoice - The appellant has discharged the liability to differential duty liability by raising supplementing voices and the finalization of provisional assessment was merely a confirmation of the differential duty leviable. Reliance placed in the case of CEAT Limited v, Commissioner of Central Excise & Customs, Nashik [2015 (2) TMI 794 - BOMBAY HIGH COURT], where it was held that The liability to pay interest arises on any amount payable to Central Government and consequent to order for final assessment under Rule 7 subrule (3). Demand set aside - appeal allowed - decided in favor of appellant.
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