Case Law Details
Synergy Steels Ltd. Vs Commissioner of Customs (CESTAT Delhi)
CESTAT Delhi held that authority is not permitted to retain the excess amount paid by the appellant because of an error in EDI system. Authority is duty bound to refund such amount.
Facts- The appellant filed the Bill of Entry for import of ‘Heavy Melting Steel Scrap’ under CTH 72044900 and paid normal rate of BCD @ 15%.
The appellant was eligible for exemption of BCD @ 2.50% in terms of Notification No. 50/2017-Cus. dated 30.06.2017 under Sl. No. 368. The appellant requested the Deputy Commissioner of Customs, Jaipur to reassess the bill of entry and refund the excess duty paid by them. It appears that in terms of the letter the authority vide order dated 24.02.2018 reassessed the bill of entry, however, fail to refund the amount to the appellant which accrued by virtue of the reassessment.
The appellant then submitted a reminder letter dated 29.04.2019, once again requesting for processing their claim for refund. Taking the representation dated 29.04.2019 as the refund claim in terms of the reassessment, the Department issued a show cause notice dated 04.05.2019, treating that the refund claim has been filed beyond one year from the date of reassessment dated 24.02.2018 and therefore the same was barred in terms of Section 27 of the Customs Act.
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