Case Law Details
Commissioner of Customs Vs Tamil Nadu Generation (CESTAT Chennai)
CESTAT Chennai held that any refund claim is not maintainable in absence of any challenge to the assessment order as the refund authority cannot assume the role of an adjudicating / assessing authority.
Facts- The assessee filed seven refund claims for refund of Customs Duty paid in respect of import of ‘non-coking coal in bulk’ imported under seven Bills-of-Entry. According to the assessee, the refund of Customs Duty paid for the above import arose since the assessable value was worked out by adding 2% of CIF value on high seal sales load at the time of assessment of import of goods, which the assessee wanted to be re-assessed by adding Rs.33/- per M.T., apparently paid to the supplier viz. M/s. MMTC Ltd. as trade margin, to the assessable value.
Notably, all the refund claims were rejected. However, the appeal preferred by the assessee was allowed. Accordingly, being aggrieved, the present appeal is filed by the revenue.
Conclusion- It is the settled position of law that the right to appeal is available to an assessee as well as the Department, even against self-assessment; until and unless the “self-assessment” is modified and the duty thereafter is re-determined, no application would lie for refund of any duty from such self-assessment since the refund authority cannot assume the role of an adjudicating / assessing authority. This is because the scope of refund is limited as against the scope of adjudication proceedings and hence, the authority considering any refund application cannot revisit the adjudication proceedings for which he has no jurisdiction.
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