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2021 (4) TMI 124 - AT - CustomsRefund of SAD - Failure to produce any documentary evidence in support of the claim that imported goods were of the description as mentioned in the Notification - provisions exist in the SEZ Act for grant of refund, or not - Unjust enrichment - penalty - HELD THAT:- The findings of Commissioner (Appeals) are not correct as under Section 30 of the SEZ Act 2005, goods removed from SEZ to DTA are chargeable to customs duties. Hence, such excess duty paid as Customs duty can only be claimed as Refund under section 27 of Customs Act 1962. Customs authorities have inherent powers under Customs Act 1962 to process the Refunds. Accordingly, this Tribunal vide final orders dated 05- 10-2015 and 16-08-2016, has directed to process refund claims under Customs Act 1962. Provisions exist in the SEZ Act for grant of refund, or not - HELD THAT:- The view that no provisions exist in SEZ Act for grant of refund is incorrect. CBIC Circular No. 11/2017-Cus dated 31-3-2017 has clarified in Para 3.3, question how old cases of refund pending as on the date of coming into effect of Notification dated 05-08-2016 will be sanctioned by Customs, Central Excise or Service Tax or CGST authorities. Inserted Rule 47(5) in SEZ Rules 2006 empowers Customs officers to issue refund claims. All field officers are bound to follow directives issued by CBIC. The authorities seems to have rejected Refund claims by O-I-O and then by O-I-A dated. 12-09-2018 for one or the other unjustified & unwarranted reasons. - also, Refund claims were filed in permitted time limit of one year. This is clear from the fact that section 27 amended w.e.f. 08-04-2011 has substituted the period of Six months to One year. Unjust enrichment - HELD THAT:- The incidence of ₹ 2,79,924/- and ₹ 54,733/- paid against said 10 Bill of Entry have not been recovered from any other person or customers and has been absorbed by M/s Suchi Fastners PVT Ltd. Further, Declarations submitted by DTA importer with their CA Certificates also show that they have also not recovered excess amount of duty from any other persons. These documents are adequate to pass the hurdle of “unjust enrichment”. Interest - HELD THAT:- There is no dispute that SAD refund of ₹ 54,733/- was filed on 11-10-2010 and BCD Refund claim of ₹ 2,79,924/- was filed on 12-11-2011.It is settled law that after filling Application for Refund, if Refund is delayed by three months, claimant also becomes eligible to get interest after three months from the date of filling refund application. This is provided in section 27A of the Customs Act 1962. Accordingly, Appellant is eligible for Interest u/s 27A of Customs Act 1962 @ 6 %. Appeal allowed - decided in favor of appellant.
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