Appeals

Excise and Customs Law empower excise/customs officers to pass adjudication orders demanding duty and
interest and imposing penalty and confiscation of goods.

Excise and Customs Act have made elaborate provisions for appeals against adjudication orders passed by
excise/customs authorities. There is only one appeal in case of orders of Commissioner, while in case of other
orders (i.e. orders of Superintendent, Assistant Commissioner, Dy. Commissioner, Jt. Commissioner, and
Additional Commissioner), first appeal is with Commissioner (Appeals) and other with Tribunal. In some matters,
revision application lies with Government against order of Commissioner and Commissioner (Appeals). Tribunal
is final fact finding authority and no further appeal lies against facts as found by Tribunal (CESTAT). In case of
order of Tribunal relating to classification or valuation, appeal lies with Supreme Court. In other matters,
appeal can be made to High Court only if substan-tial question of law is involved.

Pre-deposit for filing appeal – Section 35F of Central Excise Act (similar section 129E of Customs Act) provides that person desirous of appealing against the order shall, pending the appeal , deposit the duty demanded or penalty levied. In case of customs, pre-deposit of duty, interest and penalty is required. However, the appellate
authority [Commissioner (Appeals) or Appellate Tribunal] is empowered to dispense with such deposit if it is of
the opinion that the deposit of duty or penalty will cause undue hardship to the person. Such waiver may be
subject to such conditions as may be imposed to safeguard interests of revenue.

Meaning of ‘duty demanded’ – As per explanation to section 35F of CEA (inserted w.e.f. 11-5-2007), ‘duty demanded’ shall include following – (i) amount determined u/s 11D (ii) amountof erroneous Cenvat credit taken (iii) amount payable under earlier Central Excise Rule 57cc (iv) amount payable under rule 6 of Cenvat Credit Rules (v) Interest payable under provisions of Central Excise Act and Rules.

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