CA Bimal Jain
Limitation period prescribed under Section 11B of the Excise Act is not applicable for the rebate claim filed under Rule 18 of the Excise Rules
Dorcas Market Makers Pvt. Ltd. (the Respondent) is engaged in the export of ‘Medimix‘ brand of Ayurvedic Toilet Soap, falling under CSH 3401.11.10 of the Central Excise Tariff Act. The Respondent filed a rebate claim on June 17, 2008 under Rule 18 of Excise Rules for refund of the duty paid for goods exported during the period July 1, 2006 to January 31, 2007 (rebate claim”. The Deputy Commissioner of Central Excise, Chennai rejected the rebate claim as time barred in terms of Section 11B of the Excise Act.
Later on, the denial of rebate claim was upheld by the Commissioner of Central Excise (Appeals), Chennai. Being aggrieved the Respondent filed a Writ Petition before the Hon’ble Madras High Court, wherein the matter was decided in favour of the Respondent and it was held that rebate claim filed is not time barred as Rule 18 of the Excise Rules is self-contained and has to be construed independently. Being aggrieved, the Department preferred an appeal before the Hon’ble Supreme Court.
The Hon’ble Supreme Court held as under:
Thus, the Hon’ble Supreme Court allowed the appeal in favour of the Respondent holding that period of limitation prescribed under Section 11B of the Excise Act is not applicable to rebate claim filed as both Rule 18 of the Excise Rules and Notification 19/2004 does not prescribe the time limit for filing rebate claim.
Download High Court Judgment- Deputy Commissioner of Central Excise Vs. Dorcas Market Makers Pvt. Ltd (Madras High Court)
(Bimal Jain, FCA, FCS, LLB, B.Com (Hons), Mobile: +91 9810604563, Email: firstname.lastname@example.org)