Case Law Details
Indian Oil Corporation Ltd. Vs C.C.E. & S.T.-Surat (CESTAT Ahmedabad)
Introduction: In the case of Indian Oil Corporation Ltd. vs. C.C.E. & S.T.-Surat (CESTAT Ahmedabad), a critical question arises: Can a refund claim be barred by limitation when excise duty has been paid under protest? This article delves into the details of this case and explores the verdict delivered by CESTAT Ahmedabad.
1. Background of the Case: The appellant, Indian Oil Corporation Ltd., had been collecting charges for warehouse goods without paying excise duty on these charges. The department insisted that duty should be paid on these charges. As a result of an audit, the appellant paid an amount of Rs. 93,36,942 under protest in 2006. They subsequently filed a refund claim in 2012, citing a favorable CESTAT order in a similar case. However, the Assistant Commissioner of Central Excise rejected the refund claim.
2. Limitation Issue: One of the key points of contention was whether the refund claim filed in 2012 was barred by limitation as the duty had been paid in 2006. The appellant argued that since the amount was deposited voluntarily but under protest at the behest of the department, the limitation under section 11B should not apply.
3. Legal Precedents: The appellant relied on several legal judgments, including those related to Indian Oil Corporation Ltd., which supported their argument that limitation should not be applicable in this case.
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