https://www.taxtmi.com/caselaws?id=118708 Penalty under the Central Excise Rules was found unwarranted where finished goods were cleared as free samples without duty, but the duty was paid immediately on discovery of the mistake and before issuance of the show cause notice. The authority accepted that the clearance occurred under a bona fide belief that free supplies were not dutiable and that there was no mala fide intention to evade duty. On those facts, voluntary payment before notice and absence of intent to evade meant penal action was not attracted, and the penalty was set aside in favour of the assessee. en-us Mon, 09 May 2005 00:00:00 +0530 Thu, 05 Jul 2012 12:09:25 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=118708 Penalty under the Central Excise Rules was found unwarranted where finished goods were cleared as free samples without duty, but the duty was paid immediately on discovery of the mistake and before issuance of the show cause notice. The authority accepted that the clearance occurred under a bona fide belief that free supplies were not dutiable and that there was no mala fide intention to evade duty. On those facts, voluntary payment before notice and absence of intent to evade meant penal action was not attracted, and the penalty was set aside in favour of the assessee. Case-Laws Central Excise Mon, 09 May 2005 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=118708