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TMI Blog2016 (6) TMI 573X X X X Extracts X X X X X X X X Extracts X X X X ..... y paid interest for the delay from 8.4.2011 till the date of payment which is alone is recoverable and not before the said period. Therefore, as per settled position of law in the case of Commissioner of Central Excise Indore Vs. Premier Industries Ltd. [2009 (2) TMI 695 - CESTAT NEW DELHI], interest on retrospective levy of duty as per Finance Act, 2011 is not chargeable for the period prior to date of enactment of Finance Act, 2011 i.e. 8.4.2011. As regard the submission of the Ld. AR that against the aforesaid decision the Revenue has filed an appeal in the Hon’ble High Court of Madhya Pradesh, the Ld. A.R. could not produce any stay of operation of the Tribunal s above referred decision, therefore as a judicial discipline, we have n ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... to 31/03/2011. as demanded vide Show Cause Notice dated 15.12.2011 is dropped . 2. The issue involved in the present case is that whether interest is chargeable on the confirmed demand of duty which became payable by retrospective amendment in the Finance Bill 2011 enacted on 8.4.2011 for the period 29.4.2010 to 31.03.2011 which is prior to date of enactment of Finance Act, 2011. In the adjudication, Ld. Commissioner confirmed the interest liability for the period 8.4.2011 to 31.5.2011. However dropped the interest for the period 29.4.2010 to 31.3.2011. Aggrieved by the said portion of the order, Revenue is before us. 3. Shri V.K. Agarwal. Ld. Additional Commissioner (A.R.) appearing on behalf of the appellant Revenue submits that a ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... herefore in the present case also when the levy of duty was from a particular date and duty was paid at a later date, for the delay in payment of duty, interest shall be applicable. He further submits that as regard the Premier Industries Ltd. decision of this Tribunal the Revenue has filed an appeal before the Hon ble High Court of Madhya Pradesh which is pending. 4. On the other hand, Shri Rakesh Kumar Sharma, Ld. Consultant appearing on behalf of the respondent submits that the Ld. Commissioner dropped the penalty for the period from 29.4.2010 to 31.3.2011 on the ground that the levy of duty has been enacted under the Finance Act, 2011 only on 8.4.2011. He submits that there was no occasion or reason to pay the excise duty at any date ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... lear view that when the duty became payable only on 8.4.2011, though it is payable for the period prior to 8.4.2011 the duty is recoverable but interest cannot be demanded for the period prior to 8.4.2011. We find that when the duty itself was not leviable during the period before 8.4.2011 which became payable only on 8.4.2011, how the interest can be demanded for the period when duty was not payable. The appellant admittedly paid interest for the delay from 8.4.2011 till the date of payment which is alone is recoverable and not before the said period. The very identical issue is settled by the decision in the case of Premier Industries Ltd.(supra) wherein it was held as under: 3. After hearing learned D.R. and on perusal of the record ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... evenue filed this appeal. 4. Learned D.R. submits that Clause 87 to Explanation to the amendment of Chapter 15 Finance Act, 2005 as enacted on 13-5-2005 provides that no act or omission on the part of any person shall be punishable as an offence which would not have been so punishable if this section had not come into force. He also submits that payment of interest is not punishable offence and, therefore, the respondent is liable to pay interest as duty is levied retrospectively. 5. We find that the amendment of Chapter 15 came on 13-5-2005 with retrospective effect. Section 11AB(1) of the Central Excise Act, 1944, provides that where any duty of excise has not been levied or paid or has been short-levied or short-paid or erroneo ..... X X X X Extracts X X X X X X X X Extracts X X X X
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