9911796707
|
Home
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2017 (8) TMI 994 - AT - Central ExcisePenalty - non-maintenance of RG-1 Register - SSI exemption - Held that - in the impugned order there is no allegation against the appellant that they have contravened the provisions of Section 11AC of the Act. In that circumstances, the provisions of Rule 173Q of the CER, 1944 cannot be invoked in the facts of the case. In that circumstances, I hold that the redemption fine and penalty are not imposable on the appellant - Appeal allowed - decided in favor of the assessee.
Issues:
Appeal against imposition of redemption fine and penalty for non-maintenance of RG-1 Register. Analysis: The appellant appealed against the order imposing redemption fine and penalty due to non-maintenance of the RG-1 Register. The appellant's counsel argued that the failure to maintain the register was due to a tragic event, but the lower authorities still imposed penalties citing Rule 173Q of the Central Excise Rules, 1944. The counsel contended that the penalty was not in line with the spirit of the rules. On the contrary, the respondent's counsel emphasized that maintaining the RG-1 register is a statutory requirement, and since the appellant failed to do so, penalties were justified. The respondent relied on a previous case to support their argument. The Tribunal considered both arguments and reviewed the case law cited. The respondent relied on a case where duty was imposed for goods not entered in the register. However, it was noted that in the current case, the appellant was eligible for an exemption from duty, and there was no contravention of Section 11AC of the Act. Therefore, the Tribunal held that Rule 173Q could not be applied in this situation. Consequently, the Tribunal set aside the redemption fine and penalty imposed on the appellant. In conclusion, the appeal was allowed, and any consequential relief was granted to the appellant. The judgment highlighted the importance of statutory compliance while also considering specific circumstances that may warrant exceptions to penalties.
|
