TMI Blog2016 (1) TMI 1141X X X X Extracts X X X X X X X X Extracts X X X X ..... - Held that: - The reason given for confirming the interest is that the due date for payment of duty in terms of the above mentioned Rules is 5th of same month. The same is stipulated in Rule 9. The 3rd proviso to Rule 9 gives an exception that in case of increase in the number of operating machines in the factory during the month on account of addition or installation of packing machines, the differential duty amount, if any, shall be paid by the 5th day of the following month. During the period in which the due date falls, there is no manufacturing operation by the appellant. Hence, it follows that no duty could be determined and paid by them by 5th of the same month. The machines were unsealed and allowed for operation much later and ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 3-2014. On appeal, the Commissioner (Appeals) set aside the order relating to demand but confirmed demand for interest of ₹ 63,616/-. The Commissioner (Appeals) found that the appellants availed abatement on their own. Had the appellants followed the proper procedure, the full amount as confirmed in the original order would have been paid and later, abatement would have been granted as per the actual dates of operation. As such, the Commissioner (Appeals) held that the Government was deprived of the interest and hence, the same is payable by the appellant. Aggrieved by this order, the appellants filed this appeal. 2. Ld. Counsel for the appellants submitted that (a) the Commissioner (Appeals) finding that due date for payment of ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e number of operating machines in the factory during the month on account of addition or installation of packing machines, the differential duty amount, if any, shall be paid by the 5th day of the following month. It is an admitted fact that during the period 1-12-2011 to 22-2-2011, there is no operative machine in the appellants factory. Similarly, during the period 1-2-2012 to 13-2-2012, there was no operating machine with the appellant. In other words, during the period in which the due date falls, there is no manufacturing operation by the appellant. Hence, it follows that no duty could be determined and paid by them by 5th of the same month. The machines were unsealed and allowed for operation much later and such situation will be cov ..... X X X X Extracts X X X X X X X X Extracts X X X X
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