2012 (9) TMI 598

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.... Shri K.S. Ravishankar, Advocate, for the Respondent. [Judgment per : N. Kumar, J.]. - The Revenue has preferred this appeal challenging the order passed by the Customs, Excise and Service Tax Appellate Tribunal (hereinafter called 'Tribunal' for short) holding that when excise duty has been paid before issue of show cause notice, the assessee is not liable to pay interest on delayed payment....

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....of notice. It, however, overlooks the two explanations qualifying the main provision. Explanation 1 makes it clear that the payment would, nevertheless, be subject to imposition of interest under Section 11AB. Explanation 2 makes it further clear that in case the escape of duty is intentional and by reason of deception the main provision of sub-section 2B will have no application." 2. Foll....

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....ed under sub-section (1) is served on him, make payment of the unpaid duty on the basis of his own ascertainment or as ascertained by a Central Excise Officer and inform the Central Excise Officer in writing about the payment made by him and in that event he would not be given the demand notice under sub-section (1). Non-issue of a demand notice under sub-section (1) is nothing to do with leviabil....

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.... is for loss of revenue, becomes leviable under Section 11AB of the Act. The said non-payment or short payment of duty may be not intentional. Whatever may be the reason even if the assessee is not at fault on any count, as the duty payable in law is not paid on the value of the goods on the date of removal, the payment of interest is attracted to bridge the loss of revenue. When the Legislature c....