2008 (11) TMI 94

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....fied on 8.12.2008 in Appeal No. ST/376/2008) Shri M.G. Varadarajan, Adv. for Appellant. Ms. Sudha Koka, SDR for Respondent. [Order per: T.K. Jayaraman, Member (Technical)]. - This appeal has been filed against the Order-in-Appeal No. 51/2008-ST dated 10.03.2008 passed by the Commissioner of Central Excise, Customs & Service Tax (Appeals), Cochin. 2. Mr. M.G. Varadarajan, the Learned Ad....

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.... ninety thousand five hundred and fifty six only), the Original Authority confirmed a demand of Rs 43,600/- (Rupees Forty three thousand six hundred only) on the ground that the said amount was collected by the assessee from their client as service tax and not paid to the Government. Interest was demanded. A penalty of Rs. 50,000/- (Rupees Fifty thousand only) was imposed under Section 78 of the F....

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....is not levy of duty under Section 3 of the Central Excise Act. Consequently, no penalty and interest are liable to be paid by the assessee when the recovery is made under Section 11D. On the same issue there is another case-law in IOC Vs. CCE, Meerut, 2002 (50) RLT 665 (CESTAT-Del.) = 2002 (142) ELT 157 (Tri.-Del.). In this case also, it has been held that when there is excess collection, then in ....

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....d used it for considerable length of time. There is definitely a financial accommodation. In all fairness, apart from paying the amount collected, they should pay the interest also. She also stated that non mentioning of provisions of Section 11D in the show cause notice would not vitiate their proceedings. The very fact that the appellant paid back the service tax collected to the Government show....