New User   Login      
Tax Management India .com TMI - Tax Management India. Com
Extracts
Home List
← Previous Next →

2016 (2) TMI 782 - CESTAT MUMBAI

2016 (2) TMI 782 - CESTAT MUMBAI - TMI - Leviability of interest in respect of credit which was reversed before utilization of the same - Held that:- There is no liability under Section 11A(2B) for payment of interest under the facts of the case. The impugned order is set aside and the appeal is accordingly allowed. See COMMISSIONER OF C. EX., GHAZIABAD Versus ASHOKA METAL DECOR (P) LTD. [2010 (4) TMI 738 - ALLAHABAD HIGH COURT ] - Appeal No. E/444/11 - A/85230/16/SMB - Dated:- 7-1-2016 - Raju, .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

show-cause notice seeking to deny the CENVAT Credit availed in respect of Service Tax paid on the CHA services availed by them. After observing the fact that the appellant has already reversed the duty to avail the refund under Notification No. 17/2009, the credit of Service Tax availed was denied as inadmissible. However, the demand of interest was not confirmed in the said adjudication order. The Revenue challenged the said order before Commissioner (Appeals) for confirmation of the interest o .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

Commissioner of Central Excise, Ghaziabad vs. Ashoka Metal Décor (P) Ltd. - 2011 (21) STR 469 (All), wherein it has been held that in case where credit taken is subsequently reversed, it amounts to not taking credit and in such case when credit is not utilized, Section 11AB of the Central Excise Act are not attracted. Learned Counsel also relied on the decision of the Tribunal in the appellant's own case in Appeal No. ST/183/11-Mum vide Order No. A/559/14/SMB/C-IV dated 20.3.2014. 3. .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

t under the Cenvat Credit Rules. It is also not disputed that during the period 28-2-2004 to 18-3-2004 the Assessee had paid Central Excise Duty in excess of ₹ 9,31,360/-. The purchasers have reversed the Cenvat was entitled for the refund of excess amount paid in accordance to the provisions of the Act. Instead of claiming refund separately, the Assessee amount credit in the Cenvat account was available for the payment of duty but the same was not utilized for payment of duty and subseque .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

14 of Cenvat Credit Rules and Section 11AB of the Act are not attracted and neither the penalty nor the interest is chargeable. The Division Bench of Punjab & Haryana High Court in the case of Commissioner of Central Excise, Delhi- III v. Maruti Udyog Limited, reported in 2007 (214) ELT 173 (P&H) has held that the Assessee is not liable to pay interest as the credit was only taken as an entry in the Modvat record and was not in fact utilized. Against the above decision of the Punjab & .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

 

 

 

 

 



|| Home || Acts and Rules || Notifications || Circulars || Schedules || Tariff || Forms || Case Laws || Manuals ||

|| About us || Contact us || Disclaimer || Terms of Use || Privacy Policy || TMI Database || Members || Site Map ||

© Taxmanagementindia.com [A unit of MS Knowledge Processing Pvt. Ltd.] All rights reserved.

Go to Mobile Version