TMI Blog2023 (4) TMI 663X X X X Extracts X X X X X X X X Extracts X X X X ..... eme Court in the case of Union of India v. Ind-Swift Laboratories Ltd., has interpreted the unamended Rule 14 which was applicable to the appellant during the financial years in question and, has categorically held that a bare reading of such rule would clearly indicate that the manufacturer or the provider of the output service becomes liable to pay interest, along with the dues where Cenvat credit has been taken or utilized wrongly or has been erroneously refunded. The Hon ble Supreme Court, accordingly, held that if the said Rule 14 is read as a whole, the Hon ble Supreme Court did not find any reason to read the word or in between the expressions taken or utilized wrongly or has been erroneously refunded as the word and . An ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e relevant time. Penalty - HELD THAT:- Ld. Commissioner after considering all the facts rightly extended the benefits of waiver of penalty to the appellant - the said waiver of the penalty shall be subject to payment of interest of Rs 84,460/- by the Appellant within 30 days of receipts of this order. Appeal allowed in part. - SERVICE TAX APPEAL NO. 574 of 2012-DB - Final Order No. A/ 10859 /2023 - Dated:- 11-4-2023 - HON BLE MR. RAMESH NAIR, MEMBER (JUDICIAL) And HON BLE MR. RAJU, MEMBER (TECHNICAL) Shri. Punit Prajapati, Chartered Accountant for the Appellant Shri. V.G. Iyengar, Superintendent (AR) for the Respondent ORDER RAMESH NAIR The appeal is directed against Order-in-Appeal No. 258/2012(STC)/SKS/Co ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... le to pay interest on the cenvat credit erroneously taken. It is against this impugned order-in-appeal the appellant is before us. 3. As regards the demand of interest on CENVAT credit wrongly availed, the learned Chartered Accountant, Shri Punit Prajapati appearing on behalf of the appellant submits that they are not liable to pay interest on the CENVAT credit wrongly availed inasmuch as they have not utilised the amount of CENVAT credit wrongly taken and it was always available in their books of accounts. 4. On other hand the learned Authorized Representative Shri V.G. Iyengar appearing for the revenue strongly refuted the contentions raised by the appellant and submits that CBEC vide circular No. 897/17/2009-CX dtd. 03.09.2009 clar ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of the output service becomes liable to pay interest, along with the dues where Cenvat credit has been taken or utilized wrongly or has been erroneously refunded. The Hon ble Supreme Court, accordingly, held that if the said Rule 14 is read as a whole, the Hon ble Supreme Court did not find any reason to read the word or in between the expressions taken or utilized wrongly or has been erroneously refunded as the word and . It is held that on the happening of any of the three circumstances, such credit becomes recoverable along with interest. In our view, the submission of the Learned Counsel for the Appellant that since the Appellant had not utilized the Cenvat credit and thus Rule 14 of the Cenvat Credit Rules was not attracted, i ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ilized wrongly shall be substituted; This amendment rule makes it absolute clear that the amendment is with effect from 17-3-2012 and not before. In view of the express provisions in the Amendment Rules, the argument of the appellant that amendment being in the nature of substitution would have retrospective effect cannot be accepted. It is a trite law that every statutory provision is prospective only unless it is explicitly provided that it is retrospective in nature and the legislature provides for such retrospective operation. In the present case, no such retrospectivity has been provided by the legislature in respect of Notification 18/2012-C.E. (N.T.), dated 17-3-2012 and, therefore, the argument of the Counsel in this regard an ..... X X X X Extracts X X X X X X X X Extracts X X X X
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