Central Excise Act, 1944 - Charge/levy - Excise Duty

The High Court of Karnataka has held that Sugar Cess is tax, and to be precise it is ‘duty of excise’ and not ‘fee’. It is a duty of excise on all sugar produced by any sugar factory in India. Assessee can claim CENVAT credit in respect of cess paid as additional duty (CVD) on raw sugar imported.