TaxTMI Login
Just a moment...
Press 'Enter' to add multiple search terms. Rules for Better Search
When case Id is present, search is done only for this
of 
of 
No Folders have been created
Are you sure you want to delete "My most important" ?
NOTE:
of of 
All Case Laws
of of All Case Laws
Note
Bookmark
Share
Don't have an account? Register Here
of <h1>Time-barred Demands Upheld, Appeal Rejected for Lack of Merit</h1> <h3>COMMR. OF C. EX., GUNTUR Versus SREE SATYANARAYANA SPINNING MILLS LTD.</h3> COMMR. OF C. EX., GUNTUR Versus SREE SATYANARAYANA SPINNING MILLS LTD. - 2007 (219) E.L.T. 614 (Tri. - Bang.) Issues:1. Time-barred demands raised in show cause notice.2. Knowledge of facts by the department regarding clearances.3. Validity of the impugned order.Analysis:Issue 1: Time-barred demands raised in show cause noticeThe revenue challenged the Order-in-Appeal setting aside the Order-in-Original confirming demands and imposing penalties. The issue revolved around the short levy due to the adoption of lower prices in clearance invoices during the removal of goods. The appellants argued that the goods were removed after final assessment, and the demands raised in the show cause notice dated 14-5-2002 were time-barred for the period from 28-11-1997 to 29-1-2000. The Commissioner (A) concluded that the demands were indeed time-barred as the department was aware of all facts related to the clearances, and the assessments had been finalized.Issue 2: Knowledge of facts by the department regarding clearancesThe learned JDR contended that the facts were not known to the department, making the larger period invocable. However, the learned Counsel presented evidence from previous orders and rulings to establish that the department was indeed aware of the facts regarding the clearances and assessments. The records indicated that the clearances were finalized, and the department had rejected refund claims based on finalized assessments. The Asst. Commissioner's letter further confirmed that the clearances during the relevant period had been finalized, supporting the contention that the department was informed of the clearances made on final assessments.Issue 3: Validity of the impugned orderUpon careful consideration of submissions and perusal of orders and records, it was determined that the show cause notice issued belatedly was rightly held to be time-barred. The department had knowledge of the facts related to clearances, and there was no suppression of facts to support the Revenue's claim of short levy sustainability. The impugned order was deemed correct and legal in law, leading to the rejection of the appeal due to lack of merit.In conclusion, the judgment upheld the time-barred nature of the demands raised in the show cause notice, emphasizing the department's awareness of the facts regarding clearances and finalized assessments. The impugned order was deemed valid, and the appeal was rejected accordingly.
TaxTMI 