2006 (10) TMI 296 - AT - Central Excise

Summary

Issues involved: Interpretation of sub-rule (3A) of Rule 8 of the Central Excise Rules, 2002 regarding payment of excise duty by manufacturers of excisable goods availing Cenvat credit.

Summary:

1. The stay application was dismissed, and the appeal was taken up for disposal as the issue was concise.

2. The respondent, a manufacturer of excisable goods, availed Cenvat credit but failed to pay duty by the due date. Despite later compliance, proceedings were initiated to forfeit the facility to pay duty in installments. The Commissioner (Appeals) considered the amended provisions of sub-rule (3A) and ruled in favor of the appellant, allowing monthly duty payments.

3. The Commissioner's decision was upheld as the amended provisions of sub-rule (3A) applied, and the appeal by the revenue was dismissed.

4. The impugned order was deemed correct, and no interference was required, leading to the dismissal of the revenue's appeal.