9911796707
TMI Blog2023 (7) TMI 1176X X X X Extracts X X X X X X X X Extracts X X X X ..... cts that presented themselves before the Tribunal and, in this appellate jurisdiction, such interpretation does not call for any interference. Further, as to the quantum of interest awarded, the Tribunal, which is a specialised body dealing in matters pertaining to excise duty, took into account the previous judgments of the Supreme Court, High Courts and the Tribunal itself to justify that the rate of 12 per cent per annum would apply in the facts of the present case. Again, since there is some basis to the award of interest by the Appellate Tribunal, the same does not call for any interdiction. Appeal dismissed. - MC (Central Excise Ap.) No. 1/2023 in Central Excise Ap.No.4/2023 - - - Dated:- 26-7-2023 - Hon ble Mr. Justice San ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... aimed excess cenvat credit. However, even before a show-cause notice or any demand was issued, the assessee deposited a sum of Rs.94 lakh under protest. Indeed, the deposit was made by reversing a further cenvat credit to such extent, which amounted to almost payment in cash. A show-cause notice and a subsequent order-in-original followed. The assessee was found liable to refund cenvat credit to the extent of Rs.97 lakh. The assessee challenged the order before the Tribunal and the Tribunal found that the demand for excess cenvat credit was good for about Rs.16 lakh. After providing for interest and penalty on the excess amount of cenvat credit availed, the Tribunal found that a sum of approximately Rs.78 lakh was liable to be refunded by t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the refund in this case was not of any duty or interest on duty. Accordingly, the Tribunal found that the assessee was entitled to interest. On the quantum of interest, the Tribunal relied on several Supreme Court, High Court and its own judgments to arrive at a figure of 12 per cent per annum. 9. The Department sought a review or a correction of the relevant order and, as it stands today, the interest amount required to be paid by the order dated April 11, 2022 still remains outstanding. 10. The Department claims that since the initial deposit had been made in anticipation of a claim for excess cenvat credit availed of, such deposit must be understood to have been made on account of duty and, accordingly, the bar under Section 11B o ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... he Department, possibly, in the light of the discussion on such aspect in the immediate previous order of this Court of July 11, 2023, that at any rate, interest on interest would not be payable. However, there is no question of going into such area at this stage since it may not be relevant. Suffice it to say that since interest is a mode of compensation, it may not always pass muster to delay the payment that is due and claim that notwithstanding the reasons for the delay or the extent of delay, no interest on interest can ever be payable. Be that as it may. 13. Accordingly, the judgment and orders impugned dated April 11, 2022 and October 28, 2022 are allowed to hold the field as they do not call for any interference. 14. MC (Centr ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
