2019 (11) TMI 50 - AT - Central Excise

Maintainability of appeal - deposit for pre-condition for filling the appeal - interest on pre-deposit - time limitation - HELD THAT - The Appellant contested the claim of interest on 30.06.2017 with three reminders given to the Department on various occasions. After entertaining the claim of interest of the Appellant, the Appellant was advised to file an appeal against the order dated 22.06.2017 before the learned Commissioner (Appeals) on 14.11.2017 and thereafter appeal was filed on 08.12.2017 which shows that the claim of interest was asked to the Appellant to file before the learned Commissioner (Appeals) against the order dated 22.06.2017 - the appeal filed on 08.12.2017 is within time as the cause of action for filing the appeal arose on 14.11.2017 when the Appellant was asked to file the appeal. The learned Commissioner (Appeals) has not decided the issue of merits - matter remanded back to the learned Commissioner (Appeals) to decide the issue on merits - appeal allowed by way of remand.

Summary

Issues: Appeal dismissed as time-barred due to failure to challenge the order for interest refund.

In this judgment, the appellant had deposited a sum of ?3,89,000/- as a pre-condition for filing an appeal before the Tribunal. The Tribunal allowed the appeal and granted a refund without interest. The appellant contested the lack of interest, leading to reminders and advice to file an appeal against the refund order. The appeal was filed after this advice, but the Commissioner (Appeals) dismissed it as time-barred for not challenging the initial refund order. The Tribunal found that the appeal was filed within time as the cause of action arose when the appellant was advised to file the appeal. The impugned order was set aside, and the matter was remanded back to the Commissioner (Appeals) for a decision on merits.

The key issue in this case was whether the appeal was time-barred for not challenging the initial refund order. The Tribunal held that the appeal was filed within time as the cause of action arose when the appellant was advised to file the appeal against the order for interest refund. The Tribunal found that the Commissioner (Appeals) had not decided the issue on merits and remanded the matter back for a decision.

The judgment highlights the importance of timely filing appeals and the significance of the cause of action in determining the limitation period. The Tribunal emphasized that the appeal was not time-barred as it was filed within a reasonable time after being advised to challenge the initial refund order. The decision underscores the procedural aspects of filing appeals and the need for a thorough examination of the facts and circumstances before dismissing an appeal as time-barred.