2018 (4) TMI 1311

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.... Kumar, Asstt. Commr. (A.R) for respondent The fact of the case is that appellant are engaged in the sale of readymade garments in respect of their own manufactured goods as well as trading goods. They are availing Cenvat credit in respect of common inputs service, which are used for both types of clearances. The case of the department is that in respect of traded goods being exempted service, ....

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.... wrongly availed the Cenvat credit. In the present case availment of credit is not erroneous, Rule 14 of Cenvat Credit Rules, 2004 applies only in case where there is a short payment of duty whereas in the present case there is no question of short payment of duty, hence interest under Section 11AB is not chargeable. He further submits that in absence of invokability of Section 11A or Rule 14 , pr....

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....te of payment where the amount short paid, is not paid within the said due date." The above provision of interest is in respect of amount payable under the provision of Rule 6(3A), aforesaid provision is explicit, therefore in terms of Rule 6(3A) (e) of Cenvat Credit Rules, 2004 interest is legally chargeable. I agree with the appellant that interest is not chargeable under Rule 14 and Section ....