9911796707
TMI Blog2013 (2) TMI 392X X X X Extracts X X X X X X X X Extracts X X X X ..... Section 58 of the Customs Act,1962. The appellant are carrying out activities of manufacturing and export under 100% EOU. Along with these activities, the appellant are also undertaking activities of domestic procurement and duty free import as well as export without payment of duty under B-17 Bond. Appellants are also procuring indigenous and imported inputs/items without payment of duty. The said appellants had cleared imported as well as indigenous goods/inputs in DTA on which they had paid applicable duties of Central Excise under Section 3(1) (ii) of the Central Excise Act, 1944 by paying the same from Cenvat Credit Account and some of the duty from through cash. As the goods/inputs, were procured duty free under Notification No. 52/2 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... llate authority also came to the conclusion that the appellant is required to pay interest on the amount of duty liability which was debited in cenvat credit and later on paid by cash in the government treasury through challans. 4. Ld. counsel would draw my attention to the findings recorded by the lower authorities and submit that the clearance of the raw materials which were procured duty free under provision No.52/03-Cus. were cleared to DTA as such and they have prepared invoice for discharge of central excise duty as per the provisions of Section 3(1) of the Central Excise Act, 1944. It is his submission that they have debited the amount from the cenvat account and subsequently it was objected by the Commissioner who said that ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ay of import and also from indigenous sources and had taken CENVAT credit of CVD/Central Excise duty paid thereon. Apparently, it was out of such accumulated credit that the respondent made part-payment of duty on the inputs (imported duty-free under Notification No. 52/2003-Cus.) cleared as such to the DTA unit. It is not deniable that such DTA clearances were made on payment of duty of excise which was calculated in terms of the proviso to Section 3(1) of the Central Excise Act. There is no dispute regarding the amount of duty so paid. According to the appellant, it was customs duty which was paid by the respondent on the DTA clearances. The show-cause notices were issued on this premise. It is settled law that what is paid by a 100% EOU ..... X X X X Extracts X X X X X X X X Extracts X X X X
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