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2022 (9) TMI 1304 - HC - CustomsRefund alongwith interest claim - classification of coils and spares and accessories - to be classified under Entry 8544.11 or under Entry 6815.99 under the Schedule to the Customs Tariff Act, 1975 - HELD THAT:- The computation of duty also indicates the duty paid in respect of 4 Bills of Entries, 2 for coils and 2 for accessories. Thus, there is no doubt that claim for refund was made in respect of duty paid for both coils and accessories. It thus follows that the orders-in-original and first appeal, and the order of the CESTAT relate to the refund application as a whole and in respect of all 4 bills of entries. Even on a practical and pragmatic appreciation of the matter, it does not stand to reason that the coils would be classifiable under Entry 8503 and accessories for the coils be classified under a different heading altogether. Clearly, there is an error in the references to tariff heading in the bills of entries and the revenue must not be seen to take advantage of this error in classification. Once the CESTAT has categorically held that coils would fall under tariff heading 8503, it follows on all counts that accessories to the coil should also be treated under the same head, also eligible for duty refund. The conclusion of R2 and the submissions of the revenue to the effect that the refund must be restricted only to the duty paid on account of coils, cannot be disagreed - impugned order to the extent to which it rejects the refund in respect of accessories is quashed. Interest - HELD THAT:- Interest is payable from 3 months from date of receipt of the refund application till date of payment. In this case, the date of refund application is 27.08.1994 and in light of the order passed above holding the refund payable, interest would be applicable on the amount to be refunded on accessories in terms of Section 27A, from 3 months from date of refund application till date of payment. Petition allowed.
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