TaxTMI 
TaxTMI 
2026 (7) TMI 585
X X X X Extracts X X X X
X X X X Extracts X X X X
....ion of excise duty which he was permitted to retain on additional duty free quota of sugar between 1987 and 20-9-1991." The petitioner is running a sugar factory. It collected excise duty as permissible in the scheme floated by the Central Government, published on 4-11-1987. Under the scheme, following concession was given on excise duty. "Excise Duty Concession:- (v) In addition to the higher free sale quota mentioned above, the New factories and Expansion Projects which become entitled to incentives under the 1987 Scheme will be allowed. (a) to pay excise duty as applicable to levy sugar ; and (b) to retain the difference in excise duty as between levy and free sale sugar, in respect o....
X X X X Extracts X X X X
X X X X Extracts X X X X
.... of section 11B and the relevant date for making an application under that section in such cases shall be the date of the public notice to be issued by the Assistant Collector of Central Excise." As could be seen, sub-section (1) of Section 11D commences with non obstante clause and provides that every person who has collected any amount from the buyer of any goods in any manner as representing duty of excise, shall forthwith pay the amount so collected to the credit of the Central Government. The argument of the revenue is that since the word 'collected' is used, it would mean that the amount collected prior to coming into force, Section 11D. Respondent no. 2 - Commissioner, while passing impugned order, observed that Sec....
X X X X Extracts X X X X
X X X X Extracts X X X X
....etitioner to deposit the amount collected by it prior to coming into force Section 11D i.e. prior to 20-9-1991. In other words, the question is whether Section 11D will have retrospective effect. As stated earlier, the argument of Revenue is that since the word 'collected' is used, it would mean that it has retrospective effect. We do not find merit in the aforesaid submission. The provision as has been made will be worded in the manner it is so worded, in the sense, one cannot expect legislature to put in words, like "a person who will in future collect any amount ......". The word 'collected' will have to be read in tune with what the intent is. Section 11D requires every person, who has collected any amount from the buyer of any....
X X X X Extracts X X X X
X X X X Extracts X X X X
....f the Central Excise Act, 1944 will prevail over the provisions of the Essential Commodities Act, 1955 because Section 11D commences with non obstante clause. 4. There cannot be different views on this point. It is well settled that where a provision commences with non obstante clause, it will prevail over the other provisions, of course, if it is not otherwise worded. 5. The question here is whether the provisions under Section 11D will have prospective effect, considering the fact that it provides for consequence which are penal in character. 6. Mr. Anand Jaiswal, learned Senior Counsel for appellant has invited our attention to the judgment in Virtual Soft Systems Ltd. Vs. Commissioner of Income Tax, Delhi I [(2007) 9 SCC 665], ....