2016 (2) TMI 593

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....al Excise, Range IV, Belapur IV Divn. directed the assessee company to pay 2% Education Cess and 1% Sec. Higher Education cess along with interest. In reply to this letter, the respondent vide their letter dated 01.10.2009 contested the demand raised by the department and took the defence that they were not liable to pay additional education cess against DTA clearance affected from 31.03.2008. However, to prove their bonafides they had deposited the amount of `1,06,028/- under protest. The letter dated 14.09.2009 was written by the Superintendent in pursuance to the observation in audit para no. CRA/EOU/SB/Nov/08-09/7 dated 14.12.2008. During the audit it was found that the unit was paying only excise duty equal to the duties of customs whi....

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....red to be paid by on such goods by virtue of deemed provision contained in proviso to Section 3 of the Central Excise Act. The question of treating the same as excise duty and charging 3% education cess once again does not arise. e) The appellants have already taken into account 3% education cess as part of CVD while calculating the aggregate of Custom duties. Therefore, the appellants are not liable to pay 3% education cess once again on the total duty amount f) Chapter 22 of CBEC's Custom Manual under the Export Oriented Unit Scheme provides that the measure of excise duty leviable on goods manufactured in EOU /EPZs is worked out exactly in the same manner as applicable to imported goods. In the case of imported goods, 3% Educat....