9911796707
TMI Blog2019 (7) TMI 1460X X X X Extracts X X X X X X X X Extracts X X X X ..... - SUPREME COURT] held that Liability of the revenue to pay interest under Section 11BB of the Act commences from the date of expiry of three months from the date of receipt of application for refund under Section 11B(1) of the Act and not on the expiry of the said period from the date on which order of refund is made. The interest is admissible on the delayed cash refund sanctioned under Rule 5 of the CENVAT Credit Rules, 2004 - However, the learned AR for the Revenue submits that neither in the adjudication order nor in the Commissioner s (Appeals) finding, exact amount of interest claimed has been mentioned. Therefore, for quantification of interest admissible to the appellant, the matter should go back to the adjudicating authority. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s Circular dated 30.5.1995 and 1.10.2002 they claimed interest for the delayed period of cash refund sanctioned to them under Rule 5 of the CENVAT Credit Rules, 2004. It is her contention that the issue of allowing interest on delayed cash refund, under Rule 5 of the CENVAT Credit Rules, 2004 is no more res integra being settled by the Hon'ble Gujarat High Court in the case of Commissioner of Central Excise Vs. Reliance Industries Ltd. 2010 (259) ELT 356 (Guj) and affirmed by Hon'ble Supreme Court reported at 2011 (274) ELT A110 (SC). Also, the Hon'ble Bombay High Court held a similar view upholding the order of the Tribunal in the case of Commissioner of Central Excise Service Tax Vs. Sterlite Industries Ltd. 2017 ( ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nvas against the payment of interest on delayed refunds under Section 11BB of the Central Excise Act, in terms of the obligation to refund under Rule 5 of the CENVET Credit Rules Notification dated 18.6.2012, did not accept the canvas on behalf of the revenue that the scheme for refund of unutilized CENVAT Credit is a special beneficial scheme with self contained procedure providing for the manner and method of its implementation, and hence any refund claimed under the Rules would be governed only by the provisions of the Scheme and the general provisions of Section 11BB of the Central Excise Act cannot be resorted to. The High Court of Gujarat concluded that the CENVAT credit is nothing but duty paid by the supplier of inputs which are d ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... y interest for the delayed refund of the duty. 11. The learned counsel for the appellant revenue is unable to persuade this court to hold that the obligation to refund unutilized CEVANT Credit under Rule 5 of the CENVAT Credit Rules Notification dated 18.6.2012 is distinct and separate from the obligation under Section 11B of the Act in the light of the reasoning in the aforesaid decisions. This Court concurs with the reasons assigned in the aforesaid decisions to hold that the revenue would be obliged to pay under interest for the delayed refund as contemplated under Section 11BB of the Act even for the delayed refund of the Unutilized CENVAT credit under Rule 5 of the CENVAT Credit Rules Notification dated 18.6.201 ..... X X X X Extracts X X X X X X X X Extracts X X X X
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