Interest on delayed refund of amount deposited under section 35F (pre-deposit) [Section 35FF] :

Section 35FF of Central Excise Act, 1944 which provides for interest on delayed refund of predeposit has been substituted with a new section. New section 35FF provides that where an amount deposited by the appellant under section 35F is required to be refunded consequent upon the order of the appellate authority, interest will have to be paid on the refund of such pre-deposit from the date of its payment to the date of refund. The rate of interest would be anywhere between 5% to 36% and would be notified separately. Interest on delayed refund of pre-deposit made prior to 06.08.2014 will continue to be governed by the erstwhile provisions of section 35FF.

Notification No. 24/2014 CE (NT) dated 12.08.2014 has been issued to specify 6% as the rate of interest payable on delayed refund of pre-deposit.