1994 (6) TMI 189 - AT - Central Excise

Summary

Issues:
1. Whether the letter submitted by the appellant constitutes a claim for refund.
2. Whether the appellant's request for Modvat credit was valid.
3. Whether the refund claim submitted by the appellant was time-barred under Section 11B of the Central Excises and Salt Act, 1944.

Analysis:
1. The appellant, engaged in Turn Key Projects, appealed against the Collector (Appeals) order, which stated that the appellant's letter was not a claim for refund but a request for permission to file a refund application. The Collector (Appeals) rejected the claim as time-barred, noting that no refund claim was submitted until a later date. The appellant's advocate argued that the letter should be considered a refund claim based on previous Tribunal judgments. The Tribunal found that the letter indeed constituted a refund claim and allowed the appeal.

2. The appellant had purchased inputs from Calcutta and dispatched them directly to their project site at Tumkur. The Department contended that the Modvat credit was wrongly taken as the inputs were not brought to the appellant's factory. The appellant's advocate explained the situation, highlighting the duty paid on the items and the credit taken. The Tribunal considered the circumstances and concluded that the appellant's request for Modvat credit was valid.

3. The refund claim submitted by the appellant was rejected by the Asstt. Collector and the Collector (Appeals) as time-barred under Section 11B. The appellant's advocate argued that the letter dated 13-6-88 should be considered a refund claim based on previous Tribunal decisions. The respondent's representative reiterated that the claim was time-barred. The Tribunal examined the letter and determined that it constituted a refund claim, submitted within the required time frame, overturning the lower authorities' decision and allowing the appeal.