https://www.taxtmi.com/caselaws?id=166339 Payment of differential duty before issuance of a show cause notice does not, by itself, extinguish liability to interest and penalty under the Central Excise Act. Interest under Section 11AB follows delayed payment of duty, while penalty under Section 11AC may apply where short-levy or short-payment is linked to fraud, suppression, wilful misstatement, or intent to evade duty. The Tribunal's view that pre-notice payment automatically ended penalty proceedings was inconsistent with the settled principle. The Revenue's challenge succeeded on this point, though the matter was remitted for consideration of the separate plea regarding reversal of credit before utilisation. en-us Wed, 21 Sep 2011 00:00:00 +0530 Wed, 17 Sep 2014 16:07:07 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=166339 Payment of differential duty before issuance of a show cause notice does not, by itself, extinguish liability to interest and penalty under the Central Excise Act. Interest under Section 11AB follows delayed payment of duty, while penalty under Section 11AC may apply where short-levy or short-payment is linked to fraud, suppression, wilful misstatement, or intent to evade duty. The Tribunal's view that pre-notice payment automatically ended penalty proceedings was inconsistent with the settled principle. The Revenue's challenge succeeded on this point, though the matter was remitted for consideration of the separate plea regarding reversal of credit before utilisation. Case-Laws Central Excise Wed, 21 Sep 2011 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=166339