Supreme Court Sets Aside Rs 32.94 Crore Excise Demand on Rashtriya Chemicals and Fertilizers Ltd
Rashtriya Chemicals and Fertilizers Ltd has received a significant ruling from the Supreme Court of India. The court has set aside impugned orders-in-original dated 27.01.2010 and 04.02.2010, as well as an order passed by Customs Excise and Service Tax Appellate Tribunal, West Zonal Bench, Mumbai (CESTAT) for the period 1996 to 2005. The dispute was regarding an excise demand of tax, interest, and penalty for the alleged diversion of Naphtha other than fertilizer use. The total amount demanded was Rs 32.94 crore, which includes a tax demand of Rs 9.66 crore, interest of Rs 18.61 crore, and a penalty of Rs 4.67 crore. This decision is expected to have a positive impact on the financial, operational, and other activities of the listed entity.
Key Highlights
- Supreme Court sets aside impugned orders-in-original and CESTAT order for Rashtriya Chemicals and Fertilizers Ltd.
- Dispute involved excise demand of tax, interest, and penalty for alleged diversion of Naphtha other than fertilizer use.
- Total amount demanded was Rs 32.94 crore, including Rs 9.66 crore tax demand, Rs 18.61 crore interest, and Rs 4.67 crore penalty.
- This decision is expected to have a positive impact on the company's financial, operational, and other activities.
- The case pertains to the period 1996 to 2005.