Levy and collection of Special Additional Excise Duty (SAED), ...

SEZ manufacturer's high-speed diesel removal to DTA exempted from SAED, RIC, AIDC; Finance Act duties akin to excise duty.

Case Laws     Central Excise

August 28, 2024

Levy and collection of Special Additional Excise Duty (SAED), Road and Infrastructure Cess (RIC), and Agriculture Infrastructure and Development Cess (AIDC) on removal of High Speed Diesel manufactured in Special Economic Zone (SEZ) to Domestic Tariff Area (DTA). The provisions of the Central Excise Act, 1944 can be resorted to while construing the levy and collection under the three Finance Acts. The Supreme Court's judgment in Unicorn supports the appellant's case, holding that exemption provisions u/s 5A of the Central Excise Act could have been applied if the Central Government chose to do so. The appellant was justified in contending that the Central Excise Act provisions apply equally to the Finance Act provisions, and the Finance Act duties, being additional to excise duty, are in the nature of excise duty u/s 3 of the Central Excise Act. The impugned order is set aside, and the appeal is allowed.

View Source