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2005 (12) TMI 277 - HC - CustomsPayment of interest in case of delay in refund – excess duty paid under protest - appellant filed the application for refund of the claim in terms of Section 27(1) of the Act on 28th September, 1987 - after fighting the legal battle for more than twelve years, the appellant got the relief from the Tribunal by an order dated 9th February, 1998 with a direction for refund to the appellant, by setting aside department’s plea of unjust enrichment - in view of the explanation added to Section 27(A) of the Act, the order passed by the Tribunal should be deemed to be an order passed under sub-section (2) of Section 27 for the purpose of Section 27(A) dealing with interest - According to Section 27(A) of the Act, if the duty ordered to be refunded in terms of sub-section (2) of Section 27 is not refunded within three months from the date of receipt of application under sub-section (1) of Section 27, the interest is payable in terms of Section 27(A) - Therefore, the Tribunal below wrongly proceeded as if the date of filing of the claim was December 22, 1998. We have already pointed out that refund claim was really made on 28th September, 1987, but having filed such application before the date of assent of the President to Finance Bill, 1995, in view of proviso to the Section 27(A) of the Act, the appellant will be entitled to get interest from the date immediately after expiry of three months from the date when President gave assent to the Finance Bill, 1995 till the date of actual payment, namely, 25th February, 1999.
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