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TMI Blog2004 (3) TMI 562X X X X Extracts X X X X X X X X Extracts X X X X ..... s case the only issue under dispute is imposition of penalty under Section 11AC on the appellants. He stated that the appellants were clearing their goods on stock transfer basis to their depots on payment of appropriate central excise duty. As and when there was an increase/revision in the price, the appellants used to file revised declaration. The Head Office of the appellant at Chennai were collating the data from various depots and prepare a statement showing the enhanced price at which the goods were sold from the depots. On the basis of such statements, they were remitting the differential duty voluntarily. With effect from 1-4-99, SAP was introduced by the Company in the factory and depots and subsequently all the data of the clearan ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... peal, the Commissioner (Appeals) reduced the penalty to Rs. 4,78,061/- and upheld the rest of the Order of the Additional Commissioner. He pleaded that when the appellants had paid the differential duty voluntarily, penalty and interest under Sections 11AC and 11AB is not leviable, in view of the Tribunal s decision in the following cases : (a) Eicher Demm v. CCE, Chandigarh [2002 (140) E.L.T. 227 (Tri. - Del.)] (b) EID Parry (I) Ltd. v. CCE, Jaipur [2003 (157) E.L.T. 193 (Tri. -Chennai)] (c) Ashok Leyland Ltd. v. CCE, Chennai [2003 (156) E.L.T. 995 (Tri. -Chennai)] He also pleaded that in case the request of appellant on non-imposition of penalty under Section 11AC is not accepted then the penalty may be reduce ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the computer after introduction of SAP system. However, they have voluntarily paid the duty of Rs. 3,70,759/-. The balance amount was also paid when it was pointed out by the Central Excise audit. Thus, they have voluntarily paid the duty and therefore penalty under Section 11AC is not imposable. I find that voluntary payment of duty is that payment which is detected by the assessee himself and then he pays the duty without being pointed out by the Revenue. Such payment can only be considered as voluntary payment for non-imposition of penalty under Section 11AC. The decision relied upon by the appellants are for voluntary payments. Once the duty, short-paid or not paid is detected by the Revenue and thereafter if the assessee pays the duty ..... X X X X Extracts X X X X X X X X Extracts X X X X
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