Imposition of penalty both under section 11A and 11AC.

[VINOD KUMAR]

Whether both the penalty under section 11A(5) and 11AC can be imposed on a manufacture on account of fraudulent availment of cenvat credit during the year 2011-12.

AI Summary

Can Both Sections 11A(5) and 11AC Penalties Apply for Fraudulent Cenvat Credit Claims? A discussion on whether penalties under both sections 11A(5) and 11AC can be imposed for fraudulent cenvat credit claims in 2011-12. One participant argues that both penalties cannot be applied for the same offense, as section 11A(5) applies when discrepancies are detected during audits with records available, while section 11AC addresses fraud. Another participant references the Doctrine of Double Jeopardy, which prevents double punishment for the same offense, aligning with Article 20(2) of the Indian Constitution. The discussion emphasizes that penalties should not overlap for a single offense.