Payment of excise duty for march

[ASHOK AMIN]

Dear Experts,

I would like to know what will be the after effects if due to acute financial problem we are not able to pay excise duty by the end of last day of march ?

[Ganeshan Kalyani]

Sir, you will have to pay with interest the service tax liability if paid after 31st March. Thanks.

[KASTURI SETHI]

Sh.Ashok Amin Ji,

Concurred with Sh.Ganeshan Kalyani, Sir. Pl. also go through Rule 8 (3A) of CE Rules, 2002 which is extracted below:-

[(3A) If the assessee fails to pay the duty declared as payable by him in the return within a period of one month from the due date, then the assessee is liable to pay the penalty at the rate of one per cent. on such amount of the duty not paid, for each month or part thereof calculated from the due date, for the period during which such failure continues.

[DEEPAK SHARMA]

The view of the Sh. Kasturi Sethi is fully correct

[KASTURI SETHI]

Thanks Sh.Deepak Sharma, Ji.

[ASHOK AMIN]

Thanks to all the experts for the reply.

AI Summary

Excise Duty Must Be Paid by March 31; Delays Incur Interest and Penalty Under Rule 8 (3A) of 2002 Rules. An individual inquired about the consequences of failing to pay excise duty by the end of March due to financial difficulties. Experts responded that the duty must be paid with interest if delayed beyond March 31st. Additionally, under Rule 8 (3A) of the Central Excise Rules, 2002, a penalty of one percent per month is applicable if the duty remains unpaid for more than a month past the due date. The inquirer expressed gratitude for the expert advice received.