TMI Blog2023 (11) TMI 153X X X X Extracts X X X X X X X X Extracts X X X X ..... ecutively, the demand of interest and imposition of penalty shall also not sustain - the appellant had a bona fide view that the department have rectified the mistake occurred during the payment of excise duty under wrong registration number therefore, the revenue instead of issuing the show cause notice should have carried out the rectification in their record and closed the matter - it is not a mistake of the appellant only but equally it is a system fault of the department for which the appellant should not be made to suffer. The demand of duty which was already paid and corresponding interest and penalties are not sustainable. Hence, the impugned order is set aside. Appeal is allowed. - HON'BLE MEMBER (JUDICIAL), MR. RAMESH ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... orrect registration no. and address has been clearly mentioned. The appellant thereafter received an email dated 05.01.2012 from the departmental Superintendent, IC EASIEST DGS SZ Chennai informing that although when the manual payments were being made it was possible to rectify any errors manually. However, with electronic filing, such corrections were not possible manually. Thereafter, a show cause notice dated 07.03.2012 was issued to the appellant demanding duty of Rs. 98,40,743/- which stands paid by the appellant against the previous registration number. The Adjudicating Authority in the impugned order in original confirmed the demand interest and also imposed penalty of Rs. 50 Lacs under Rule 25 of the Central Excise Rules, 2002. The ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... by both sides and perused the records. We find that the only mistake that inadvertently happened on the part of the appellant is that they have mentioned wrong registration while making the payment of excise duty. Therefore, except such mistake there is not a case of non-payment of duty, hence, the demand of duty cannot be sustained. Consecutively, the demand of interest and imposition of penalty shall also not sustain. We find that the appellant had a bona fide view that the department have rectified the mistake occurred during the payment of excise duty under wrong registration number therefore, the revenue instead of issuing the show cause notice should have carried out the rectification in their record and closed the matter. It is also ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... tration number of a different assessee was mentioned in which case it could not have been asserted that Service Tax was deposited in the account of that assessee whose registration number was wrongly mentioned in the challan (though its name did not appear therein) and not in the account of the person whose name was mentioned in the challan. Such mistakes can happen and it can scarcely be anybody s case that such mistakes are beyond rectification. In this case, the Assistant Commissioner, Service Tax in-charge of the appellant s Mumbai unit has categorically mentioned that the impugned amount of service tax (Rs. 25 lakhs) deposited has not been utilised towards paying service tax by the Bombay unit. The CESTAT judgment in the case of Plasti ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... lhi s letter No. Coord/2(1)/76/e-PAO (Chennai)/13-14/159, dated 4-9-2013 and the Civil Accounts Manual of the PAO, read with letter Chord/2(8)/Cex/13-14/224, dated 1-5-2014, even for previous years. The instances, resulting in remittances against wrong Head of accounts/STC numbers/C. Ex. Registration number, are cited below : - 1. Service Tax has been paid in the wrong accounting code of a difference service than which is rendered, where the mistake has occurred under same registration number. 2. Service Tax has been paid against incorrect Accounting Minor Heads of Education Cess, interest, penalty Secondary Higher Education Cess and or vice versa. For eg : interest paid under Secondary Higher Education Cess, etc. 3. Ser ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nts) and attach with the representation besides the documents enumerated against Case I above. As may be observed, para No. 3 and para No. Case-3 of the said Trade Note squarely cover the situation obtaining in the present case and lay down a procedure for rectification of such mistake. 7. In the present case, there is complete absence of mala fide and the mistake was brought to the notice of Revenue by the appellant itself. In effect, essentially, overall there has not been any short or delayed payment of service tax by appellant. In these circumstances, the question of penalties would not arise. In these circumstances, even the question of interest would not arise in the wake of C.B.E. C. Circular dated 20-5-2013 cited ab ..... X X X X Extracts X X X X X X X X Extracts X X X X
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