1980 (9) TMI 98

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....t came into force on 21st of May, 1966 when President's assent was received. In May, 1967 the petitioner appellant was asked to pay the differential cess as under the Produce Cess Act and that cess has been raised from 17 paise per quintal to 60 paise per quintal. Therefore, the petitioner was asked to pay certain amount as differential cess as the cess was revised from 21-5-1966 when the Act came into force. But it appears that the demand of the differential cess was calculated with effect from 1-4-1966. On the face of it this calculation is patently wrong. The Produce Cess Act came into force on 21-5-1966, when the assent of the President was obtained. Therefore, between 1-4-1966 and 21-5-1966 no cese under the Act can be asked to be paid....

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.... as Collector. In our opinion, that cannot be correct. Now, it appears that in 1969 the Government had exercised powers under Section 2(a) of the Produce Cess Act and appointed Collector by a notification published on 26th of March, 1969. The said notification runs as follows :- "In exercise of the powers conferred by Clause (a) of Section 2 of the Produce Cess Act, 1966 (15 of 1966), the Central Government hereby appoints the Officers specified in Col. (2) of Table below to perform within the areas specified in the corresponding entry in Col. (3) of the said Table, the duties of a Collector under the provisions of the said Act and the Rules made thereunder in so far as they relate to the levy and collection of the cess referred to in su....

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....of authority is concerned under Section 2(a) of the Produce Cess Act must be accepted. 5. The second point urged by Mr. Chakraborty is whether Rule 10 or 10A of the Central Excise Rules, in respect of the provision applies. Assuming for a moment that under the Central Excises and Salt Act the Collector is empowered to levy and collect taxes, still in our opinion this comes under rule 10 of the Central Excise Rules. Rule 10 of the Central Excise Rules specifically provides when duties or charges have been short-levied through inadvertence, error, collusion or mix-construction on the part of an officer or through mis-statement as to the quantity etc. the period of limitation is three months from the date on which the duty or charge was pai....