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>Tribunal rules no interest payment required between provisional and final duty assessment</h1> <h3>M/s. Hindustan Insecticides Ltd. Versus Commissioner of Central Excise And Service Tax, New Delhi</h3> M/s. Hindustan Insecticides Ltd. Versus Commissioner of Central Excise And Service Tax, New Delhi - TMI Issues:- Dispute regarding differential duty payment between provisional and final assessment- Liability to pay interest for the period between provisional assessment and final assessmentAnalysis:1. Dispute regarding differential duty payment between provisional and final assessment:The appeal was filed against an order dated 08.12.2016 concerning the financial years 2011-2013. The appellant, engaged in pesticide manufacturing, paid duty provisionally at the applicable rate on the manufacturing date. The Ministry informed about the valuation price difference on 24.3.2014, and the final assessment was completed on 21.9.2015. The department demanded interest from the date of production for goods clearance, leading to the appeal. The tribunal noted that the duty was paid as per provisional assessment during clearance, and the department demanded differential duty for the period between provisional and final assessment.2. Liability to pay interest for the period between provisional assessment and final assessment:Referring to the decision of the Hon’ble Bombay High Court and the subsequent affirmation by the Hon’ble Supreme Court, the tribunal concluded that the Central Excise Rules did not establish the liability to pay interest for the period between provisional assessment and payment of differential duty until final assessment. As the payment was made voluntarily before the final assessment, resulting in no dues to the government, the tribunal ruled that interest was not payable. Citing the Supreme Court's precedent, the tribunal found no justification in the impugned order and set it aside, allowing the appeal filed by the appellant.In conclusion, the tribunal's judgment clarified the absence of a legal basis for demanding interest for the period between provisional and final assessment, ultimately ruling in favor of the appellant based on established legal principles and court precedents.
TaxTMI 
TaxTMI 
