Section 11AC: No Interest / Penalty on value of goods escalated by buyer retrospectively

As per the fact of the case there is no dispute that the duty was payable on the escalated value of the goods cleared by the appellant. The main issue was whether the interest is chargeable on the duty paid on the escalated portion of the value. This issue has been considered in various judgements as cited by the Learned Counsel, subsequently the matter was referred to the Larger Bench of the Honourable Supreme Court. As regard the intention of the appellant regarding payment of duty on the escalation value, 1 am of the view that at the time of clearance of the goods there was no knowledge to ...