Commissioner Of Central GST And Central Excise J And K Jammu vs. M/S Hawco Petrofer LLP Sicop Govindsar Kathua

Facts

The Commissioner of CGST and Central Excise, Jammu (Appellant) filed an appeal before the High Court against an order passed by the Customs, Excise and Service Tax Appellate Tribunal (CESTAT). The CESTAT had set aside orders passed by the Commissioner (Appeals) and the Adjudicating Authority, directing a refund of Education Cess and Secondary & Higher Education Cess to the assessee, M/s Hawco Petrofer LLP SICOP Govindsar Kathua (Respondent). This direction was based on the Supreme Court's decision in 'M/s SRD Nutrients Pvt. Ltd. V. Commissioner of Central Excise, Guwahati'. A batch of similar appeals filed by the Commissioner, including the lead case CEA No. 10/2022, had been dismissed by a Coordinate Bench of the High Court on May 23, 2022. The present appeal was also based on similar grounds.

Held

The High Court dismissed the appeal filed by the Commissioner of CGST and Central Excise, Jammu. The Court noted that the present appeal challenged an order similar to those in a batch of appeals previously considered and dismissed by a Coordinate Bench of the High Court on May 23, 2022. The grounds raised in the instant appeal were also found to be almost identical to those already dealt with by the Coordinate Bench. Therefore, to maintain parity and consistency, the Court dismissed this appeal on the same terms and conditions as laid down in the previous judgment. Any interim directions that were subsisting were also vacated. The ratio decidendi is that appeals with identical grounds and subject matter as previously dismissed appeals by a coordinate bench should be dismissed on the same basis to ensure consistency in judicial pronouncements.

Key Issues

1. Whether the CESTAT erred in directing the refund of Education Cess and Secondary & Higher Education Cess to the assessee, contrary to the orders of the Commissioner (Appeals) and the Adjudicating Authority? The Appellant argued that the appeal was filed under Section 35G of the Central Excise Act, 1994, challenging the CESTAT's order which relied on the Supreme Court's decision in 'M/s SRD Nutrients Pvt. Ltd.'. The Appellant contended that the grounds raised in this appeal were identical to those in a batch of previously dismissed appeals by a Coordinate Bench of the High Court. The Respondent argued that the CESTAT's order was justified based on the Apex Court's ruling, which allowed for the refund of such cesses. However, the judgment does not explicitly record the Respondent's detailed arguments, focusing instead on the precedent set by the Coordinate Bench.