2011 (4) TMI 926 - AT - Central Excise

Differential amount collected on supplementary invoices - Interest and penalty - Held that - Differential amount collected on supplementary invoices stands settled in favour of the department by the judgement of the Supreme Court in the case of CCE, Pune vs. SKF India Ltd 2009 (7) TMI 6 - SUPREME COURT . Order of the Commissioner (Appeals) in setting aside the demand of interest cannot be sustained - Restoring the order of the original authority, the penalty of Rs.5,000/- is set aside - partly in favour of assessee.

Summary

The Appellate Tribunal CESTAT, Delhi heard an appeal by the department against the Commissioner (Appeals) order. The issue of interest on differential amount collected on supplementary invoices was settled in favor of the department by a Supreme Court judgment. The order setting aside the demand of interest was overturned, but the penalty imposed was set aside. The appeal was partly allowed.