ALPHA INFRAVISION PVT. LTD. Vs. UNION OF INDIA

JUDGEMENT

(1.) The petitioner is aggrieved by the impugned order dated 22nd September, 2015 passed by the Customs, Central Excise and Service Tax Settlement Commission, New Delhi ('Settlement Commission') to the extent that it imposed a penalty of Rs. 30,000/- on the petitioner.

(2.) The petitioner was manufacturing ready mixed concrete on job work basis from April, 2013 onwards. It is stated that as per the advice of the Service Tax Department, the petitioner got itself registered and started paying service tax. On 8th January, 2014 the officers of Anti-Evasion (Central Excise and Service Tax), Ghaziabad visited the factory of the petitioner and took the stand that the job work activity undertaken by the petitioner amounts to manufacture and not service and that the petitioner was required to pay excise duty. The petitioner then got itself registered under Central Excise Act, 1944 ('CE Act') on 17th January, 2014. This was followed by a show cause notice dated 12th December, 2014 being issued to the petitioner demanding central excise duty for the period 1st April, 2013 to 13th January, 2014.

(3.) It was at this stage that the petitioner approached the Settlement Commission which by the impugned order dated 22nd September, 2015 has determined the central excise duty payable by the petitioner at Rs. 9,43,5790. The excess payment of Rs. 2,94,215/- was ordered to be refunded. The penalty amount and interest paid was asked to be adjusted against the interest amount qua the excise duty determined.