Interest on supplementary Invoices

[MITSUI PRIME ADVANCED]

Dear Sir,

Pl. advice to us we have generate supplementary invoices against price injection and acutal original invoices for the month of Jan  2013

we have paid total Excise duty from Cenvat Account  so in this case interest liability applicable on supplementary pl. advice ,

if we have paid 2 percent or 1 percent duty from PLA then Interest liability

pl. advice in both situation

Thanks & Regards

RajKumar

AI Summary

Interest Applies to Price Adjustment Invoices at 18% Annually, Even if Duty Paid via Cenvat Account A company inquired about the interest liability on supplementary invoices issued due to price adjustments, having already paid excise duty from the Cenvat account. Experts clarified that interest is applicable on the differential duty due to price escalation, regardless of whether a portion of the duty was paid from the Personal Ledger Account (PLA). The interest rate is specified at 18% per annum, as confirmed by a Supreme Court ruling. The discussion emphasized the legal obligation to pay interest on such invoices, even if the original duty was paid through the Cenvat account.