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TMI Blog2019 (12) TMI 12X X X X Extracts X X X X X X X X Extracts X X X X ..... t was supposed to pay duty on compounded levy basis i.e. Rs. 12 Lakh per Machine per Month. In the month of April 2010, they have paid as per this rate by 5th April 2010. However, the rate of duty was revised to Rs. 8Lakh per Machine per Month with effect from 13 April 2010. Since the revision was at lower side, the appellant was entitled for refund on pro-rata basis for the period from 13 April 2010 to 30 April 2010, as per 5th proviso to Rule 9 of Chewing Tobacco & Un-manufactured Tobacco Packing Machines (Capacity Determination & Collection of Duty) Rules, 2010. Accordingly, the appellant have taken re-credit of the said differential duty on 20 May 2010. The department raised demand on the ground that the appellant is not entitled to tak ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... g the Appeal No. E/108/2012 which relates to the demand of differential duty against the appellant's action of suo-moto re-credit. In this regard, we find that Chewing Tobacco & Un-manufactured Tobacco Packing Machines (Capacity Determination & Collection of Duty) Rules, 2010 has explicitly provided that in case of revision of rate of duty, the department should itself refund the differential duty paid which is in excess of the revised rate. The proviso is reproduced as below:- "Rule 9. Manner of payment of duty and interest. - The monthly duty payable on notified goods shall be paid by the 5th day of the same month and an intimation in Form - 2 annexed to these rules shall be filed with the Jurisdictional Superintendent of Central Excise ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... inuation or commencement and the duty liability for the month shall not be deemed to have been discharged unless the differential duty is paid by the 5th day of the following month and in case the amount of duty so recalculated is less than the duty paid for the month, the balance shall be refunded to the manufacturer by the 20th day of the following month : Provided also that if there is revision in the rate of duty leviable under section 3A of the Act, the monthly duty payable shall be recalculated on the pro-rata basis of the total number of days in that month and the number of days remaining in that month counting from the date of such revision and the duty liability for the month shall not be discharged unless the differential duty i ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... in a particular month, his monthly duty payable for that month shall be calculated on the pro-rata basis of the total number of days in the month and the number of days remaining in that month starting from the date of such commencement and shall be paid within five days of such commencement." 5. As per the above proviso, there is no need of filing any application. Department was duty bound to give refund by 20th day of the following month. Therefore, the appellant's action of taking suo-moto credit on 20 May 2010 is in accordance with the 5th proviso to Rule 9 of Chewing Tobacco & Un-manufactured Tobacco Packing Machines (Capacity Determination & Collection of Duty) Rules, 2010. We, therefore, do not find any illegality or incorrect in t ..... X X X X Extracts X X X X X X X X Extracts X X X X
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