COMMISSIONER OF CENTRAL EXCISE Vs. PRESSCOM PRODUCTS

JUDGEMENT

(1.) This appeal is by the revenue challenging the order passed by the Tribunal holding that the Assessee is not liable to pay interest on differential duty.

(2.) The Assessee - M/s Presscom Products is a manufacturer of excisable goods falling under Chapter sub-heading No. 8714.00 of the Schedule to the Central Excise Tariff Act, 1985. They preferred a refund claim of Rs. 27,802/-in respect, of interest amount paid by them under protest on the differential duty paid on the supplementary invoices raised during the months of July, September and November 2003 due to revision in price of their products after the dates of clearance. Therefore, a notice dated 14.9.2004 was issued to them calling upon them to show cause why the refund claim of Rs. 27.802/- being the interest paid on the delayed payment of differential duty through supplementary invoices should not be rejected on the ground that they had under valued the goods by not including the revised price of components though the fact of revision was known to them at the time of clearance of goods.

(3.) The adjudicating authority rejected the claim for refund of interest. It held Section 11AB specifically includes provisions for interest even in a situation of Sub-section (2B) of Section 11A of the Central Excise Act. 1944 (for short hereinafter referred to as 'the Act'), where the Assessee voluntarily pays the duty short paid.