9911796707
TMI Blog2006 (3) TMI 512X X X X Extracts X X X X X X X X Extracts X X X X ..... ty is payable by them for the period 1-4-2001 to 1-4-2003. It is his submission that the payment of differential duty arose due to the fact that there was an upward revision of the price of their goods which was supplied to their customers. Since the goods were already cleared on payment of duty they raised supplementary invoices showing the raised price and calculated the differential duty and deposited the same with the Government. He submits that they were issued show cause notice on 29-3-2004 directing them to pay an interest of Rs. 64,927/- under Section 11AB of the Central Excise Act, 1944. The appellants contested the show cause notice on two grounds, (i) interest is not payable by them relying upon Larger Bench decision in the case ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... , as is for the time being fixed by the Central Government, notification in the Official Gazette, from the first date of the month succeeding the month in which the duty ought to have been paid under this Act, or from the date of such erroneous refund, as the case may be, but for the provisions contained in sub-section (2), or sub-section (2B), of Section 11A till the date of payment of such duty : Provided that in such cases where the duty becomes payable consequent to issue of an order, instruction or direction by the Board under Section 37B, and such amount of duty payable is voluntarily paid in full, without reserving any right to appeal against such payment at any subsequent stage, within forty-five days from the date of issue of suc ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ituation is also precisely covered by provisions of Section 11AB in its sub-section (1) which requires an assessee to pay the interest along with duty payable by them. 5. In respect of the decision of the Larger Bench of the Tribunal in the case of Machino Montell, I find that, that case is not applicable in this matter inasmuch as in those cases the department issued the show cause notice to the assessee for confirmation of the demand under Sub-section (2) of Section 11A, and the assessee had paid the duty before issuance of show cause notice. Ratio of that judgement may have been applicable had there been any confirmation of duty of demand. I find, in this case, that the order-in-appeal is only confirming the amount of interest and not ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
