1990 (8) TMI 281 - AT - Central Excise

Summary

Issues:
Claim for refund rejected due to late submission.

Analysis:
The appeal was against the rejection of a refund claim by the Assistant Collector, which was confirmed by the Collector (Appeals). The claim was rejected because it was received in the office after six months from the date of payment. The appellants had submitted the claim to the Assistant Collector through the Range Supdt. on 2-2-1983. The Assistant Collector considered the claim as beyond six months and rejected it.

The advocate for the appellants argued that they had previously faced refusal from the Assistant Collector to receive claims directly and were directed to submit them through the Range Supdt. This was supported by letters dated 7-3-1979 and 16-3-1979, where the Assistant Collector specifically directed the same. Therefore, the claim submitted to the Range Supdt. but addressed to the Assistant Collector should be deemed as filed before the Assistant Collector in compliance with statutory requirements.

The Department Representative contended that the statute mandates filing the refund claim directly before the Assistant Collector. Mere submission of a letter claiming refund was not sufficient, and all necessary data had to be provided, checked by the Range Supdt., and then submitted to the Assistant Collector.

The Tribunal found that the refund claim was addressed to the Assistant Collector but filed before the Range Supdt. as per the Assistant Collector's directions. It was deemed unwarranted for the Assistant Collector to consider the claim as time-barred since he himself had instructed to file claims only before the Range Supdt. The rejection of the claim was deemed erroneous, and the matter was remanded back to the Assistant Collector for reconsideration within two months from the date of the order.

In conclusion, the Tribunal set aside the rejection of the refund claim and directed the Assistant Collector to review the claim on its merits within a specified timeframe, emphasizing the importance of following the Assistant Collector's instructions regarding the submission process.