CESTAT - Extension of Stay - not required henceforth?
YESTERDAY evening we reported the order passed by the Ahmedabad Bench of CESTAT in the case of Venketeshwara Filaments Pvt. Ltd. 2014-TIOL-2388-CESTAT-AHM wherein the Bench has while disposing of the applications seeking extension of stay of earlier orders granting stay has held -
Any stay order passed by the CESTAT, if it is in force beyond 07.08.2014, it would continue till the disposal of the appeals and there is no need for filing any further applications for extension of orders granting stay either fully or partially.
This would, in hindsight, mean that the omission of the 1st, 2nd and 3rd provisos to section 35C(2A) of the CEA, 1944 by the Finance Act, 2014 was not a prudent piece of legislation after all. But then, the TRU had in its communication D.O.F.No.334/15/2014-TRU dated July 10, 2014 mentioned - "11. Section 35C(2A) is being amended to omit the first, second and third proviso in view of substitution of section 35F with a new section."
Perhaps the saving clause in the new section 35F was not an encompassing one!
Having said that, it is time for the CESTAT to come out with another Circular and make this decision applicable all over India. This would bring down the CESTAT pendency to manageable levels and the Benches would be left with real appeal work.
Unless, of course, the Revenue wants to challenge this order or for that matter bring in a saving clause via the retrospective route!