Virbac Animal Health India Pvt.Ltd Vs Union of India (Madras High Court)
Madras High Court held that refund claim filed is rightly rejected since differential customs duty was paid voluntarily and not under protest during DRI [Directorate of Revenue Intelligence] investigation and closure of proceeding was requested by importer. Accordingly, writ petition is dismissed.
Facts- The petitioner had paid the basic customs duty at the rate of 5% Advalorem under Customs Tariff Heading 2309.09 for the import of Shrimp Larvae Feed in pellet form during 2014 to 2017 under 11 Bills of Entry submitted by them.
Subsequently, DRI had investigated the matter on the ground that Shrimp Larvae Feed imported by the petitioner was not in pellet form, and therefore, the benefit of exemption granted to the petitioner from paying higher customs duty at 30% Ad valorem was incorrect, and hence, the petitioner is liable to pay the differential duty for the import of Shrimp Larvae Feed in non-pellet form during 2014-2017 under 11 Bills of Entry.
According to the petitioner, based on the advise of DRI, it had deposited a sum of Rs.3,16,91,824/- with the Customs Department, being the differential customs duty payable by them. According to the petitioner, Vide Finance Bill, 2019, it was clarified that Prawn Feed and Shrimp Larvae Feed, other than in pellet form, will also attract 5% customs duty, as is the case with other Fish Feed in pellet form.
