TMI Blog2021 (7) TMI 101X X X X Extracts X X X X X X X X Extracts X X X X ..... rave irregularity, as pointed out by the Revenue, should have been attempted to be set right on its own before being pointed out since the monthly/regular ER-1 returns were not filed blindly. Obviously, therefore, upon being pointed out, the appellant felt exposed, made payments without even questioning the delay, if any, in the Revenue s audit nor did it even raise the issue of invoking the larger period when the Show Cause Notice was issued, but accepted the appropriation of its payment towards duty and interest. Penalty - HELD THAT:- Admittedly, there is no challenge by the assessee-appellant to the invoking of larger period which has the same ingredients as that of Section 11AC (1) (a) ibid. It is therefore difficult to accept that ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Cause Notice dated 08.12.2017 covering the period 2013-14 and 2014-15 was issued after noticing certain discrepancies by the Central Excise Audit team during the course of audit of accounts of the appellant from February 2017 to April 2017, during which time even the ER-1 returns, etc., came to be scrutinized. The Show Cause Notice specifically emphasizes that the appellant had availed CENVAT Credit on the capital goods which were cleared as such, which was in contravention of Rule 3 (5) of the CENVAT Credit Rules, 2004 and on the same, the tax payable in terms of the CENVAT Credit Rules, in the prescribed manner, was not paid, which is in violation of Rule 8 (1) of the Central Excise Rules, 2002. The appellant had also not paid the Excise ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... er-in-Appeal No. 107/2019 dated 08.03.2019. 5. A perusal of the Show Cause Notice clearly indicates that there was an act of suppression, contravention, etc., which, but for the audit by the Central Excise team, could not have been detected and resultantly, the appellant would have escaped the liability. The Show Cause Notice also points out that the issuing authority prima facie suspected, inter alia, that the appellant had indulged in suppression of facts, etc., to avoid payment of amount equal to CENVAT Credit availed thereby resulting in contravention of the CENVAT Credit Rules. The contraventions are specifically brought out at page 8 in paragraph 5 of the Show Cause Notice, as below: CONTRAVENTION OF SECTIONS AND RULES: F ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... short-levy or non-levy of duty in certain cases. - (1) The amount of penalty for non-levy or short-levy or non-payment or short-payment or erroneous refund shall be as follows :- (a) where any duty of excise has not been levied or paid or short-levied or short-paid or erroneously refunded, by reason of fraud or collusion or any wilful mis-statement or suppression of facts, or contravention of any of the provisions of this Act or of the rules made thereunder with intent to evade payment of duty, the person who is liable to pay duty as determined under sub-section (10) of section 11A shall also be liable to pay a penalty equal to the duty so determined; The words with intent to evade have to be looked into from the facts of ea ..... X X X X Extracts X X X X X X X X Extracts X X X X
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