2023 (11) TMI 679 - SCH - Central Excise

Validity of order of Tribunal - Revenue appeal - Low Tax Effect - Waiver of interest and penalty - Tribunal has decided in favor of assessee subject to the condition that amount deposited under Protest shall not be claimed as Refund - HELD THAT - Having regard to the disputed period being July 2000 to December 2001 under consideration, in respect of which, the outstanding demands made under the five impugned Show Cause Notices have been complied with inasmuch as the amount has been paid and in view of the categorical submissions made by learned senior counsel to the fact that the assessee would not claim refund of the said amount, we find that the Revenue would not in any way be prejudiced if the submission of assessee is accepted, the appeals would not call for further consideration at the hands of this Court. Secondly, insofar as the demand of Rs. 14,27,384/- is concerned, which is towards facility charges, without going into the details of the said demand, it can be stated that on account of the low tax effect, it would not be necessary to consider the said aspect of the matter on merits in these appeals. These appeals are disposed of having regard to the submissions noted above, leaving all substantial questions of law, if any, which arise in these appeals to be agitated in any other case and not to be re-agitated insofar as these appeals are concerned.

Summary

Issues involved:
The issues involved in this case are the appeal against the order passed by the Customs, Excise & Service Tax Appellate Tribunal and the payment of excise duty and facility charges under protest.

Appeal against Tribunal Order:
The Revenue appealed against the order dated 08.11.2004 passed by the Customs, Excise & Service Tax Appellate Tribunal, E.Z.B., Kolkata EDM-218-221-03. The dispute in these appeals related to the period from July 2000 to December 2001. The respondent-assessee had paid the excise duty demanded under the Show Cause Notices under protest. The respondent-assessee informed that they would not seek a refund of the amount paid under protest. The Revenue was not prejudiced as the respondent-assessee was not seeking any refund even if successful in the appeals. The appeals were disposed of based on the submissions made by the parties, leaving all substantial questions of law to be agitated in any other case.

Payment of Facility Charges:
The demand of Rs. 14,27,384 towards facility charges was not paid under protest by the assessee as there was a contention that no sale or supply of gas occurred. Due to the low tax effect, it was not necessary to consider this aspect on merits in these appeals. The Tribunal had already granted relief to the respondent-assessee by setting aside the order imposing penalty and interest, which was not interfered with due to the low tax effect and the submissions made during the proceedings.

Conclusion:
The Supreme Court disposed of the appeals considering the period under dispute, the payment made by the respondent-assessee under protest, and the submissions made by the parties. The Court left all substantial legal questions to be raised in other cases and not to be re-agitated in the current appeals. The order imposing penalty and interest was upheld by the Court due to the low tax effect. Any pending applications were also disposed of accordingly.