2009 (2) TMI 183 - AT - Customs

Refund Customs Duty held that - The raw materials which remained in the warehouse beyond the date of expiry of the warehousing period were undisputedly chargeable to duties of customs on the date of assessment of the ex-bond Bill of Entry and the assessee paid this duty. However on the date of assessment of the ex-bond Bill of Entry the assessee chose to register their protest in the bill. In our view they ought to have preferred appeal against the assessment order especially when they were anticipating purchase order for Pour Point Depressant from ONGC. Going by this conduct of the assessee as also by the case law cited by SDR we hold that the subsequent refund claim was only liable to be rejected

Summary

The appellate tribunal CESTAT, Mumbai, in the 2009 judgment, heard an appeal filed by an assessee against the rejection of a refund claim for certain goods cleared from a warehouse after the warehousing period. The imported raw materials were used to manufacture goods for supply to M/s. ONGC, exempt from customs duties. A quantity of raw materials remained unutilized in the warehouse after the warehousing period expired, and the duty was paid under protest upon assessment of the ex-bond Bill of Entry. The appellants subsequently filed a refund claim, which was rejected on the grounds that the assessment was not challenged and the duty was paid under protest. The tribunal considered the arguments presented by both parties and concluded that the subsequent refund claim was only liable to be rejected based on the conduct of the assessee and relevant case law. The tribunal sustained the impugned order and dismissed the appeal. The judgment was pronounced on 6th February 2009.