9911796707
|
Home
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2016 (9) TMI 322 - HC - Central ExciseWhether the Custom Excise and Service Tax Appellate Tribunal ( CESTAT ) fell into error in omitting delayed payments of duty through CENVAT contrary to Rule 8(3A) - Held that - it is noticed that there is absolutely no dispute about two critical elements, i.e., firstly that there was about ₹ 3.27 lakhs lying to the credit of the assessee in its CENVAT account and secondly he in fact did paid the amount claiming that the short payment was due to oversight. Having regard to these facts and the circumstance that Rule 8 (3A) itself has been struck down and is no longer in existence, which we entirely concur with, we find no infirmity with the CESTAT s order. No question of law arises. - Decided against the Revenue
Issues:
Whether the Custom Excise and Service Tax Appellate Tribunal ("CESTAT") erred in omitting delayed payments of duty through CENVAT contrary to Rule 8 (3A). Analysis: The judgment in question dealt with the issue of delayed payments of duty through CENVAT and the applicability of Rule 8 (3A). The appellant had a liability for April 2012, which was not fully paid on time due to an error in the computer system. The appellant later paid the balance amount along with interest. The assessing authorities sought to recover penalty and interest based on Rule 8 (3A), which was declared unconstitutional in previous cases. The CESTAT, in its impugned order, referenced the unconstitutionality of Rule 8 (3A) in previous decisions and found no dispute regarding the appellant's CENVAT credit and the payment made to rectify the oversight. The court noted that Rule 8 (3A) had been struck down and was no longer in force, a position the court agreed with. Given the circumstances and the absence of any legal infirmity in the CESTAT's order, the court concluded that no question of law arose. Consequently, the appeal was dismissed. The judgment underscores the importance of legal principles and precedents in determining the validity of rules and regulations governing tax liabilities and payments. The decision also highlights the significance of factual accuracy and compliance in tax matters to avoid penalties and interest.
|
