Custom, Excise & Service Tax Tribunal
Cce Mysore vs M/S. Tvs Motors Company Ltd on 22 August, 2013
CUSTOMS, EXCISE & SERVICE TAX APPELLATE TRIBUNAL SOUTH ZONAL BENCH BANGALORE COURT - I Applications Involved: E/Stay/2529-2531/2012 in E/3469-3471/2012-DB Appeals involves: E/3469-3471/2012-DB (Arising out of Order-in-Appeal No.491/2012 dated 28.9.2012 passed by the Commissioner of Central Excise (Appeals), Mangalore.) CCE MYSORE Appellant Versus M/s. TVS MOTORS COMPANY LTD Respondent
Appearance:
Mr. R. Gurunathan, Addl. Commissioner (AR) For the Appellant Mr. Harish.R., Advocate For the Respondent Date of Hearing: 22/08/2013 Date of Decision: 22/08/2013 CORAM:
HON'BLE SHRI S.S.KANG , VICE PRESIDENT HON'BLE SHRI B.S.V.MURTHY , TECHNICAL MEMBER Final Order No. 26393 - 26395 / 2013 Order per. S.S.KANG Common issues are involved and therefore the applications and appeals are taken up together.
2. Heard both sides. Revenue filed these applications for stay of the operation of the impugned order. We find that this issue is already settled by the Larger Bench decision of the Tribunal in the case of Cadbury India Ltd. reported in 2008 (232) E.L.T. 224 (Tri.-LB), therefore the appeals are taken up for hearing.
3. The issue involved in these appeals is that the date from which interest is payable on finalization of the provisional assessment. The Commissioner (A) in the impugned order after relying upon the Rule 7(5) of the Central Excise Rules, 2002 and relying upon the decision of the Tribunals decision in the case of Cadbury India Ltd. (supra) held that in respect of finalization of provisional assessment, the interest is payable from the first day of the month succeeding the month for which such refund is determined till the date of refund on finalization of the assessment.
4. The contention of the Revenue is that the interest on delayed refund is payable immediately after expiry of three months from the date of application as per the provisions of Section 11BB of the Central Excise Act.
5. We find that Rule 7(5) of Central Excise Rules, specifically covers the issue. The relevant part of Rule 7(5) of the Central Excise Rules, 2002 is reproduced below:
(5) Where the assessee is entitled to a refund consequent to order for final assessment under sub-rule (3), subject to sub-rule (6), there shall be paid an interest on such refund at the rate specified by the Central Government by notification issued under Section 11BB of the Act from the first day of the month succeeding the month for which such refund is determined till the date of refund.
The provision is interpreted by the Larger Bench of the Tribunal in the case of Cadbury India Ltd. vs. CCE (supra) and the Commissioner (A) has followed this decision. In view of this, we find that there is no infirmity in the order passed by the Commissioner (A). The appeals filed by the Revenue are dismissed. Stay applications are also dismissed.
(Order Pronounced and Dictated in Open Court) B.S.V.MURTHY (TECHNICAL MEMBER) S.S.KANG (VICE PRESIDENT) rv 3