Mandatory fixed pre-deposit - Appeal forms need amendment
THE new CESTAT appeals forms for Central Excise (E.A.-3, E.A.-4, E.A.-5), Customs (C.A.-3, C.A.-4, C.A.-5) and Service Tax (S.T.-5, S.T.-6, S.T.-7) were notified vide , and , all dated 10.04.2013 respectively. These forms were made effective from 1.6 2013.
Board while explaining the salient features of the new forms also clarified that the old forms may continue to be used till 31.08.2013 and that from 01.09.2013 onwards, no appeal shall be filed in the old forms. DDT 2084 & 2085 had extensively covered the subject matter.
It seems that the Board was unhappy with the new appeal forms and, therefore, sought feedback and suggestions for further improvement. That exercise was undertaken by the Director (Judicial Cell) who came out with a letter addressed to all stakeholders on 16 April, 2014. Please see DDT 2354.
Nothing was heard thereafter.
In the meanwhile the Union Budget 2014-15 was presented and the Finance Act, 2014 was enacted on 6th August, 2014.
Notable in the Finance Act, 2014 was substitution of Section 35F of the CEA, 1944/129E of Customs Act, 1962 with new section(s) to prescribe a mandatory fixed pre-deposit of 7.5%/10% of the duty demanded/penalty imposed when appeals are filed before the Commissioner(A)/CESTAT.
It is almost four months now but the appeal forms launched with much fanfare have not accommodated the above change in the legal position as regards pre-deposit.
The forms (EA-3, EA-4, C.A.-3, C.A.-4, S.T.-5 & S.T.-6) still seek the following particulars -
14. (i) Amount of duty or fine or penalty or interest deposited. If so, inform the amount deposited under each head in the box below. (A copy of the challan under which the deposit is made shall be furnished)
Duty | Fine | Penalty | Interest |
|---|---|---|---|
(ii) If not, whether any application for dispensing with such deposit has been made?
The same is the case with the form [EA-1, CA-1] prescribed for filing appeal before the Commissioner (Appeals). See this -
7.
Whether duty or penalty or both is deposited; if not whether any application for dispensing with such deposit has been made. (A copy of the challan under which the deposit is made shall be furnished).
Suffice to say that the forms in relation to appeals/cross-objections filed before the Tribunal as well as those in relation to appeals filed before the Commissioner (Appeals) need to be amended so as to reflect the new dispensation of pre-deposit. The Central Excise (Appeals) Rules, 2001, Customs (Appeals) Rules, 1982 & the Service Tax Rules, 1994 need to be amended without further loss of time.
DDT hopes that along with the feedback and suggestions received in response to the call made by the Director (Judicial) the above requirements too would be incorporated in the appeal forms.