9911796707
TMI Blog2024 (8) TMI 845X X X X Extracts X X X X X X X X Extracts X X X X ..... ; the demand of sugar cess raised as per the impugned order is not sustainable. Hence, the impugned orders are set-aside and the appeals are allowed.' Thus, the issue is no longer res-integra and according to the said judgment on export of sugar, the sugar cess is not required to be paid. The impugned orders are set aside - Appeals are allowed. - HON'BLE MEMBER ( JUDICIAL ) , MR. RAMESH NAIR And HON'BLE MEMBER ( TECHNICAL ) , MR. C L MAHAR Shri Rahul Gajera , Advocate for the Appellant Shri Anand Kumar , Superintendent ( AR ) for the Respondent ORDER RAMESH NAIR The issue involved in the present appeals is that whether the appellant is entitled for exemption of Sugar Cess under Notification No. 42/2001-CE (NT) dated 26.06.2001 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... sue to be decided is whether by virtue of exemption notification No. 42/2001-CE(NT) dated 26.06.2001, the appellant is liable for payment of sugar cesson export of sugar. We find that the very same issue in the appellant s own case has been decided by this Tribunal vide Final Order No. 11047-11049/2024 dated 14.05.2024, wherein the following order has been passed:- 4. We have carefully considered the submission made by both sides and perused the records. We find that the department has raised the demand of sugar cess on the ground that the appellant cannot be escaped from the payment of sugar cess on export of sugar as the same is not covered under the Notification No. 42/2001- CE (NT) on the ground that the sugar cess is not an excise duty ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s and interest thereof. Respondent discharged the central excise duty and Sugar Cess, but challenged the imposition of interest on such duty and Cess. Commissioner (Appeals), rejected the claim of assessee as regards the interest liability on central excise duty but allowed the appeal in respect of interest on Cess. Revenue is in appeal against the setting aside of interest on cess. 3. Ld. SDR would submit that duty liability on respondent arose due to diversion of export sugar for home consumption. It is the submission that interest liability also arose as Notification No. 42/2001-C.E. (N.T.) dated 26- 6-2001 clearly stipulates that interest is payable. He would rely upon the larger bench decision of tribunal in the case of TTK-LIG Ltd. - ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... fter 90 days from the date of determination made by the competent authority. In this case, the initial determination also including the requirement to pay interest on cess, was communicated to the appellant on 7-8-2001. Only the computation was made in application of the provision of Notification No. 41/2001 instead of Section 11AA of Central Excise Act. Therefore, the period excluded for charge of interest prior to the date of determination and 90 days thereafter contained in Section 11AA of Central Excise Act, needs to be reconsidered for the collection of interest charges payable on cess. Except for this change in the quantum of interest on cess liable to be paid by the appellant, the findings on other charges contained in the impugned o ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nt it sets aside the interest payable on the amount of Sugar Cess is unsustainable and is liable to be set aside and we do so. Appeal is allowed as indicated hereinabove. 4.3 The identical issue has been considered by the Larger Bench of this Tribunal wherein the identical levy of rubber cess in terms of Rubber Act, 1947, the larger bench has held that the mode adopted for collection of excise either from owner or state or from the manufacturer by whom the rubber is used will not change nature of excise duty which is levied as a cess. The sugar cess remains as excise duty notwithstanding the fact that it is levied as cess for purpose of Section 12 of Rubber Act, 1947. 4.4 It was further held that subsequent allocation of an amount by approp ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ussion and finding, the demands raised in the impugned order are not sustainable. Accordingly, the impugned order is set aside. Appeals are allowed with consequential relief. It can be seen from the above decision passed in the appellant s own case, the facts involved are absolutely identical. Accordingly the demand of sugar cess raised as per the impugned order is not sustainable. Hence, the impugned orders are set-aside and the appeals are allowed. In view of the above decision of the Tribunal, which relied upon another case of this Tribunal vide final order No. 11047-11049/2024 dated 14.05.2024, the issue is no longer res-integra and according to the said judgment on export of sugar, the sugar cess is not required to be paid. 5. Accordin ..... X X X X Extracts X X X X X X X X Extracts X X X X
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