Vedanta Ltd. Vs Commissioner of Customs (Preventive) (CESTAT Kolkata)
CESTAT Allow Interest @12% for Delay of 15 years and not following Hon’ble Supreme Court Directions in Final Assessment of S/Bill and delaying Export Duty Refund by Paradeep Customs
To summarize our decision :
(a) Whether any interest is payable to the appellant for the finalization of assessment in a delayed manner
Considering the factual matrix of the case, clearly indicating the lapse on the part of the Revenue to complete the Finalization within the period of 6 months as mandated, the Revenue cannot take umbrage under Section 18(4) to deny the interest. Since the provisions of Section 27A are attracted, interest is required to be paid. For this we are placing reliance on the Supreme Court decisions in the case of Ranbaxy and Sandvik Asia and other case laws.
(b) If they are found to be eligible to interest, what would be the relevant date of interest?
In the present case, the Finalization should have been completed by 14.08.2010, i.e within six months from the date of having all the documents submitted in the course of Personal Hearing. This date is taken as the date of filing of the refund claim. After allowing the 3 months from 14.08.2010, the interest would be payable from 14.11.2010.
