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Informative

Interest not Payable for Intervening Period when Sufficient Balance is Maintained in CENVAT Credit Account: CESTAT

Update / Judgement Date

25 Aug 2024

Source

Taxscan

Author

Team — WCP Legal Desk

Reading Time

1 min read

Appeal Against OrderExcise, VAT & Custom

The CESTAT ruled that interest is not payable for the intervening period if a sufficient balance is maintained in the CENVAT credit account. This decision clarifies that taxpayers should not be penalized with interest charges when their credit account holds sufficient funds, promoting fairness in the application of tax laws.