Refund claim of additional duty, Customs - Exim - SEZ

[Jatinder Maan]

We are importing the material on payment of appropriate duties including the additional duty @4% , we are a registered dealer and do not pass on the duty amount or sale tax or value added tax to our customer because we sale the said material to our other branches as a stock transfer and these branches will pay the sale tax or value added tax as a case may be at the time of sale , myquery is can we file the refund of additional duty as per custom notification 102/2007 and on which document

Posts / Replies

[Mukesh Kumar]

You may refer to circular no. 16/2008 of customs in which the refund of 4% additional duty was allowed where the goods are sold through consignment agents / stockist. The same proposition must apply where goods are sold through branches or depots. The relevant portion is read as, "In view of the above, it is clarified that in case of sale of imported goods by importer through consignment agent/stockist, refund of 4% CVD shall be granted by Customs field formations, subject to the condition that the Consignment agent/ stockist has been authorised to sell the imported goods in terms of the agreement entered into between the importer and consignment agent/stockist and that each of the sale invoices issued by the consignment agent/stockist indicates that the sale is made by him on behalf of the importer in the capacity of consignment agent/stockist. These conditions shall be verified by the Customs officers before sanction of 4% CVD refund claims in these cases. Further, in such cases, it is also required that the applicant submits a certificate from a Chartered Accountant appointed by the importer, who either certifies the importer's financial records under the Companies Act, 1956 or any ST/VAT Act of the State Government or the Income Tax Act, 1961, to the effect that appropriate ST/VAT has been paid by consignment agent/stockist on behalf of importer and that the importer, in turn, has paid or reimbursed the ST/VAT to his consignment agent/stockist along with the correlation of ST/VAT payment with 4% CVD paid on imported goods."