What is the percentage for penalty on Delay payment of central excise duty, and the penalty applicable from which date? Whether it is 12% or 1% what ever percentage kindly give the notification for the same.
04 January 2016
As per the new budget, in central excise, there is no change in the rate of interest of 18 % for delayed duty payment or for late payment of any pending Govt. dues.
However, new rule 8 (3A) has been added in the new budget which is as follows :-
“ (3A) If the assessee fails to pay the duty declared as payable by him in the return within a period of one month from the due date, then the assessee is liable to pay the penalty at the rate of one per cent. on such amount of the duty not paid, for each month or part thereof calculated from the due date, for the period during which such failure continues .
Hence, apart from the existing 18% interest for late duty payment, further penalty of 1% is now required to be paid.
If the month of Dec 2015 ED We have not paid on 05.01.16. We paid the same on 12.01.16, now the penalty is applicable for the 7days or upto 30 days no penalty ah? pl clarify my doubt sir
CAclubindia
