Case Law Details
Andhra Sugars Limited Vs Commissioner of Central Tax (CESTAT Hyderabad)
In a significant judgment that underlines the importance of judicial discipline, the Customs, Excise, and Service Tax Appellate Tribunal (CESTAT), Hyderabad, recently ruled in favour of Andhra Sugars Limited in a case against the Commissioner of Central Tax.
The case centered on a refund claim filed by Andhra Sugars Limited. The Department disagreed with the Assistant Commissioner’s decision to sanction the refund, leading to a series of appeals and protective demands. Despite previous decisions by the Tribunal and the High Court, the Commissioner (Appeals) held the Tribunal’s order as ‘per incuriam’ and upheld the Revenue’s contention.
This action led to the reopening of a case already decided by the Tribunal, a move that went against the principles of judicial discipline. The CESTAT highlighted that the Commissioner (Appeals) had overstepped his bounds by reviewing a Tribunal’s order that had already gained finality due to lack of appeal. The Department’s selective application of review processes was criticized as a mockery of the judicial process.
The CESTAT finally set aside the impugned order and allowed the appeal, reemphasizing the necessity of respecting previous decisions and maintaining judicial discipline.
Please become a Premium member. If you are already a Premium member, login here to access the full content.
