9911796707
TMI Blog2009 (4) TMI 814X X X X Extracts X X X X X X X X Extracts X X X X ..... (Development) Act, 1974, Cess is payable on the Crude Oil received in a refinery or a factory. It was noticed on scrutiny of the monthly returns that during the period April, 2001 to March, 2003, the appellant have been paying cess on Crude Oil after 5th of the following month whereas they were required to pay the Cess amounts on fortnightly basis. The lower authorities issued a letter to the appellant demanding interest on the delayed fortnightly Cess payments. Aggrieved by such a letter, the appellant preferred an appeal to the Commissioner (Appeals). The learned Commissioner (Appeals), after considering the written and oral submissions made by the appellant before him, came to the following conclusion. "7. I find that as per Section 15( ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... hin the stipulated date, the amount of duty outstanding along with interest should be treated as recoverable arrears of revenue and all permissible action under the law including the action under Section 11 of the Central Excise Act, 1944 and under Section 142 of the Customs Act, 1962, should be taken and such action can be initiated under Section 11 without issuance of Show Cause Notice. Therefore, I hold that the demand of interest at such rates of interest as prescribed in the notifications given under Section 11AB ibid, on the delayed payments of Cess is legally tenable. Accordingly, I pass the following Order. ORDER The impugned letters are upheld and the appeals are rejected." 3. Aggrieved by such an order, the appellants are befor ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... he Commissioner (Appeals) above. It can be seen from the above reproduced portion that the learned Commissioner (Appeals) has relied upon the decision of the Geo Enpro Petroleum Ltd. (supra) case. We find that the said decision has been reversed by the Hon'ble Apex Court and the matter has been remanded back to the Tribunal for fresh adjudication. If that be so, the law as settled by the said decision of Geo Enpro Petroleum Ltd., is no more a good law. Further, we find that the said decision of the Tribunal was in respect of collection of Cess by the Central Excise Department and not on the interest to be charged on the amount of Cess, which has been belatedly paid by any assessee. We find that the learned Commissioner (Appeals) has relied ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... addition to any cess or duty leviable on those items under any other law for the time being in force. (4) The provisions of the Central Excise Act, 1944 (1 of 1944) and the rules made thereunder, including those relating to refund and exemptions from duties shall, as far as may be, apply in relation to the levy and collection of duties of excise leviable under this section and for this purpose the provisions of that Act shall have effect as if that Act provided for the levy of duties of excise on all items specified in the Schedule." 5.1 It can be noticed that the charging section of the OID Act, 1974 clearly talks about duties of excise and provisions of sub-section (4) of Section 15, which specifically indicates that the provisions of ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... at the States' sales tax authorities must apply is the Central Act. In such application, for procedural purposes alone, the provisions of the State Act are available. The provision relating to interest in the latter part of Section 9(2) can be employed by the States' sales tax authorities only if the Central Act makes a substantive provision for the levy and charge of interest on Central sales tax and only to that extent. There being no substantive provision in the Central Act requiring the payment of interest on Central sales tax, the States' sales tax authorities cannot, for the purpose of collecting and enforcing payment of Central sales tax, charge interest thereon." 5.2 As we have already reproduced the provisions of Section 15 of the ..... X X X X Extracts X X X X X X X X Extracts X X X X
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