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2023 (2) TMI 722 - MADRAS HIGH COURTLevy of Interest - non payment of the credit component - petitioner claims that they are not liable to pay any interest as per the impugned demand on the ground that only in respect of the cash component mentioned in the impugned demand, they are liable to pay interest - HELD THAT:- The issue as to whether an assessee is liable to pay any interest for the alleged non payment of the credit component is covered by the decisions of two learned Judges of this Court in the case of M/S. SRI PRIYANGA AGENCIES REP. BY ITS PROPRIETOR V. SRIDEVI VERSUS THE ASSISTANT COMMISSIONER OF CGST & CENTRAL EXCISE VILLUPURAM, THE SUPERINTENDENT OF CGST & CENTRAL EXCISE VILLUPURAM, THE BRANCH MANAGER LAKSHMI VILAS BANK LTD. [2022 (12) TMI 1372 - MADRAS HIGH COURT] in the case of M/s.Refex Industries Limited vs. The Assistant Commissioner of CGST & Central Excise and two others [2020 (2) TMI 794 - MADRAS HIGH COURT], wherein they have interpreted and explained Section 50(1) of the GST Act, 2017 - The learned judges have held in clear terms that Section 50 of the GST Act can be applied demanding interest only in cases of belated cash payment towards GST, but not on input tax credit available all the while with the department to the credit of the assessee. Writ petitioner to demonstrate to the satisfaction of Respondents 1 and 2 undisputed payments (if any) within three weeks from today i.e., on or before 28.02.2023 - On demonstration to the satisfaction of respondents 1 and 2 (as above), the impugned notice will stand set aside - Petition disposed off.
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