Section 11D applies only to duty-like amounts actually collected from customers, not amounts embedded in contractual pricing.

Section 11D of the Central Excise Act is attracted only where a duty or duty-like amount is actually collected from customers as such and reflected in invoices or assessment documents. Where the amount is merely built into contractual pricing, without separate disclosure in the relevant invoices during the period, it is not treated as collection under Section 11D. On that reasoning, the Tribunal found a prima facie case for complete waiver of the adjudged dues and stayed recovery pending appeal.

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Issues: Whether the applicant was required to deposit the amount allegedly collected from customers by revising contracts and merging the 8% amount in the sale value, so as to attract Section 11D of the Central Excise Act, 1944 and justify pre-deposit of the adjudged dues.

Analysis: The liability under Section 11D depends on collection of duty or duty-like amount as such from customers, and the Tribunal noted the Commissioner's categorical finding that the amount was not shown separately in the invoices during the relevant period. The Tribunal also relied on earlier decisions holding that where an amount is reflected only in contracts or purchase orders and not collected by showing it in the invoices or assessment documents contemplated by Section 12A of the Central Excise Act, 1944, Section 11D is not attracted. In the absence of any contrary authority from the Revenue, the applicant was held to have made out a prima facie case for complete waiver.

Conclusion: The demand did not justify immediate recovery by way of pre-deposit, and waiver of the adjudged dues with stay of recovery was granted in favour of the applicant.

Final Conclusion: The stay application succeeded, and recovery of the adjudged amount remained suspended during the pendency of the appeal.

Ratio Decidendi: Section 11D is attracted only when duty or a duty-like amount is actually collected from customers as such and reflected in the relevant invoices or assessment documents, not when the amount is merely built into contractual pricing.

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