TaxTMI 
TaxTMI 
2015 (9) TMI 251
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....nded, by which the rate of overtime charges to be paid to the Excise staff stationed at the Distillery run by the petitioner had been increased. 2. The impugned notification was challenged by the petitioner in writ petition no. 1327 of 2007 on the ground that the amendment in the rates of overtime charges was without any statutory backing and that the enhancement of overtime charges was without any basis and had no co-relation with the services rendered by the Excise Department. During the pendency of the writ petition, the Excise Department raised a demand of Rs. 29,62,007.45 towards overtime charges for the extra hours for which the distillery on its own request had operated. The said demand was challenged by the petitioner in writ petit....
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....espondents had no power to issue the demand notices. It was however contended that the interest could only be charged under Section 38-A of the Act on arrears of excise revenue. It was contended that overtime charges paid under Rule 12 of the Rules is not an excise revenue and, therefore, interest on such overtime charges could not be charged or realised under Section 38-A of the Act. It was also contended that the last paragraph of the judgment of this Court dated 26.07.2011 is an obiter dicta and reliance on that paragraph could not be taken by the respondents. 7. Having heard the learned counsel for the parties, it would be appropriate if we consider the provisions of Section 38-A of the Act under which the interest has been charged. Fo....
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....t would then become payable. The words "Excise Revenue" has been defined under Section 3(1) of the Act, which is as under: 3(1)"excise revenue" means revenue derived or derivable from any duty, fee, tax, fine (other than a fine imposed by a court of law), or confiscation imposed or ordered under the provisions of this Act, or of any other law for the time being in force relating to liquor or intoxicating drugs;" 9. According to the learned Senior Counsel, excise revenue means any duty, fee, tax, fine or confiscation imposed or ordered under the provisions of the Act and submitted that the overtime charges is not an excise revenue as it is neither a duty, fee, tax or fine. The learned Senior Counsel consequently, submitted that the intere....