#Section 11B Central Excise Act

CESTAT ruled that a refund of service tax paid under a mistake of fact attracts interest at 12% per annum, superseding the earlier 6% rate. This higher rate applies to any taxpayer seeking restitution for erroneous service tax payments, enhancing compensation for delayed refunds. The decision sets a binding precedent for future service tax refund claims.

CESTAT Chandigarh holds that refund claims for mistaken service tax payments by educational institutions are subject to the one-year limitation period under Section 11B of the Central Excise Act. The ruling underscores strict compliance with procedural timelines, even for exempted entities, impacting tax refund claims across sectors.