9911796707
TMI Blog2024 (8) TMI 1105X X X X Extracts X X X X X X X X Extracts X X X X ..... COURT] was pronounced favouring such interest payment except the one passed in Gionee India Pvt. Ltd. case, in which its inadmissibility is distinguishable and could never be taken as binding precedent for not having considered the settled position of law in this case, apart from the fact that provision under Rule 11B covers refund of accumulated cenvat credit that is payable on export under Rule-5 of Cenvat Credit Rules, which is put in the category of refund of duty and section 11BB grants interest to such refund sanctioned three months beyond receipt of the refund application, which is consistently held to be counted from the date of filing of first refund application. The appellant is entitled to get interest on refund sanctioned to it ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... in his said order dated 4-12-2020 and order dated 26.03.2021 respectively for both the appeals, denied to sanction interest under relevant section 11BB of the Central Excise Act for delay in sanctioning claim of refund under Rule- 5 of the Cenvat Credit Rules. Legality of the said denial of interest is questioned here. 3. Learned counsel for the Appellant Mr. Kevin Gogri, in citing several decisions including the one passed in the case of the Commissioner OF Central Excise V/s. Reliance Industries Ltd. by Hon ble Gujarat High Court, as reported in [2010 in 259/ELT/356 (Guj) that was affirmed by Hon ble Supreme Court in [2011(274) E.L.T. A 110 (S.C), and subsequent decision including the one recently passed in Capita India Pvt Ltd V/s. Commi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of appeal and supported the reasoning and rationing of the order passed by this Tribunal. 5. I have gone through the relevant provisions of law, relied upon case laws and the material available in the appeal case record. Consistent decisions are available on the issue of payment of interest on delayed refund of unutilized credit since provision of the Law, supported by judgments of Hon ble Gujarat High Court in Reliance Industries Ltd, cited supra was pronounced favouring such interest payment except the one passed in Gionee India Pvt. Ltd. case, in which its inadmissibility is distinguishable and could never be taken as binding precedent for not having considered the settled position of law in this case, apart from the fact that provision ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ection 11-B provides for the categories of cases where instead of being credited to the fund, the amount is to be paid to the applicant. One of the categories provided thereunder as specified under clause (c) to the proviso, is in case where such amount is relatable to refund or credit of duty paid on excisable goods used as inputs in accordance with rules made, or any notification issued, under the Act. 9. Section 37 the Act empowered the Central Government to frame rules to carry into effect the purposes of the Act. The Cenvat Credit Rules, 2002/2004 have been framed in exercise of powers under section 37 of the Act and make provision for refund of credit of duty paid on excisable goods used as inputs. Thus, under clause ( c) of the provi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the ambit of section 11BB of the Act and interest would be payable under Section 11BB of the Act in case of delay in sanctioning refund under Rule 5 of the Rules. ( Underlined to emphasise ) 6. Order passed by Hon ble Gujarat High Court in Reliance Industries Limited (Respondent) cited supra that has attained finality in view of its approval by the Hon ble Supreme Court of India. 7. In view of the above findings, consistent decisions of Tribunal and of the Constitutional Courts and in obedience to binding precedent on the issue, I am of the considered view that Appellant is entitled to get interest on refund sanctioned to it from three months after expiry of the date of filing of its first refund application for respective appeals. Hence t ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
