2018 (12) TMI 1534

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.... Motor Spirit (MS), to their Depots at Renigunta, Neyveli and Pondicherry. The actual sale, to the customers takes place from these depots only by adopting the assessable value, prevailing from time to time, with reference to the rate circular received from their Head Office. 4. Appellant was served with a show cause notice dated 19.02.2004, stating that the duty structure of Motor Spirit and High Speed Diesel Oil had been revised on 01.03.2001 and 12.01.2002 respectively, as under:- PRODUCT : MS Duty Structures Duty Structures Prior to After Prior to After 1.3.2001 1.3.2001 12.1.2002 12.1.2002 BED 16% 16% 16% 16% SED --- 16% 16% 74% AED Rs. 1000/kl 1000/kl 1000/kl 1000/kl PRODUCT : HSD Duty Structures Duty Structures Prior to After Prior to After 1.3.2001 1.3.2001 12.1.2002 12.1.2002 BED 12% 16% 16% 20% SED ---       AED Rs. 1000/kl 1000/kl 1000/kl 1000/kl 5. Show cause notice stated that, as per the stock statement furnished by the appellant, there was no stock at Pondicherry depot on the above 2 dates of revision. The exce....

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.... claimed against the appellant. 9. Original authority i.e. the Assistant Commissioner of Customs, Excise & Service Tax Appellate Tribunal, Chennai, after going through the records of the case and after giving personal hearing to the parties, passed an order directing the appellant to pay a sum of Rs. 12,71,643/- under Section 11 D of the Central Excise Act. The authority did not impose any penalty. Original authority has found that the appellant has not denied or disputed, in the show cause notice, collection of excise duty, at the revised rate of Central Excise duty, at the time of sale of stock of petroleum products lying as on the date of revision of excise duty rate. 10. The original authority, on scrutinizing the invoices raised, after the date of revision of rate of duty, viz., 01.03.2001 and 12.01.2002, has found that the invoices, mentioned the rates, which were chargeable after revision, and therefore, the orginal authority held that the difference between the amount collected by the depot invoice, and the value declared for the purpose of duty, at the time of clearance from the warehouse, has to be treated, as excess excise duty. 11. The assessing authority also ....

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....f Rs. 15,20,749 (additional demand of Rs. 2,49,106/-). 17. Aggrieved by the two orders, the appellant has preferred an appeal before the Commissioner of Central Excise (Appeals), Chennai. The Tribunal by its order dated 14.06.2017 in Final Order No.40991/2017, dismissed the appeal filed by the appellant. Instant Civil Miscellaneous Appeal has been filed, on the following substantial questions of law:- 1. Whether the order of the Tribunal is arbitrary, illegal and without jurisdiction inasmuch as it proceeds on a complete misconception of law and facts, thus liable to be set aside? 2. Whether the order of the Tribunal is right in confirming the order of the lower authorities when the very issuance of show cause notice is without jurisdiction? 3. Whether the order of the Tribunal is legally valid when the provisions of Section 11D cannot be made applicable to the instant case? 4. Whether the order of Tribunal is correct in stating that subsequent price revisions in depots affects the duty liability of appellant, when Rule 7 of Central Excise Valuation Rules 2000 requires payment of duty based on price prevalent at the time of clearance from the ....

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....e buyer to be deposited with the Central Government. - (1) Notwithstanding anything to the contrary contained in any order or direction of the Appellate Tribunal or any Court or in any other provision of this Act or the rules made thereunder, every person who is liable to pay duty under this Act or the rules made thereunder, and has collected any amount in excess of the duty assessed or determined and paid on any excisable goods under this Act or the rules made thereunder from the buyer of such goods in any manner as representing duty of excise, shall forthwith pay the amount so collected to the credit of the Central Government. (2) Where any amount is of the Central Government under sub-section?required to be paid to the credit (1) and which has not been so paid, the Central Excise Officer may serve, on the person liable to pay such amount, a notice requiring him to show cause why the said amount, as specified in the notice, should not be paid by him to the credit of the Central Government. (3) The Central Excise representation, if any, made by the person?Officer shall, after considering the on whom the notice is served under sub-section (2), determine t....