TMI Blog2023 (9) TMI 582X X X X Extracts X X X X X X X X Extracts X X X X ..... ed order; the Commissioner has also rejected the appeal seeking grant of interest on delayed refund. Further, the appellant was provisionally assessed under Section 18 of the Customs Act. Reference made to the decision of COMMISSIONER OF CUSTOMS VERSUS INDIAN OIL CORPORATION [ 2012 (1) TMI 31 - DELHI HIGH COURT ] wherein it has been held by the Hon ble Delhi High Court that in the case of provisional and final assessment, the refund is payable in terms of Section 18 of the Customs Act, 1962. The appellant is entitled to interest if the refund is payable after the expiry of 3 months from the date of final assessment as per Section 18 (4) of the Customs Act whereas in the present case the refund was granted within 3 months as presc ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... arliest and opined that question of refund of excess duty paid, if any, will arise only after the adjustment of provisionally assessed duty under clause(a) of sub-section (2) of Section 18 of Customs Act, 1962. In pursuance to the Order-in-Appeal dated 21.02.2013, Assessing Officer finalized the assessment of Bills of Entry on 29.12.2021 @ 1.40 USD/Kg, which was accepted by the appellant. Thereafter, the appellant filed the refund application on 12.01.2022 of excess duty paid over $1.40 per kg. On refund application, some deficiencies were raised and after meeting out the queries Adjudicating Authority vide order-in-original dated 14.03.2022 sanctioned the refund claim of Rs 13,22,041/- Rs. 1237420/- excess duty paid + excess Interest ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... as the case may be. He also submits that Sub-section 4 of Section 18 clearly specifies that interest is payable only if refund is not granted within 3 months from the final assessment. He further submits that the interest rate has also been prescribed in this sub- section at the rate specified in Section 27A of the Act. He further submitted that there is no delay in granting the refund. He further submitted that the assessment in this case was finalized on 29.12.2021 @1.40/kg which were accepted by the appellant. In pursuance to this final assessment, the appellant filed refund claim dated 12.01.2022 seeking refund of differential excess duty and the said amount was refunded to the appellant vide OIO dated 14.03.2022 i.e. within 3 mon ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 962. 6. After considering the submissions of both the parties and perusal of material on record, I find that in the present case, the assessment was finalized on 29.12.2021 and in pursuance to the final assessment refund was sanctioned to the appellant vide OIO dated 14.03.2022 which is within the time limit of 3 months from the date of final assessment. The original authorities rejected the request of interest and vide impugned order; the Commissioner has also rejected the appeal seeking grant of interest on delayed refund. Further, I find that the appellant was provisionally assessed under Section 18 of the Customs Act. The relevant provisions of the Customs Act are reproduced herein below:- Section 18. Provisional assessment of d ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... sessment within such time and in such manner, as may be prescribed.] (2) When the duty leviable on such goods is assessed finally 3 [or re- assessed by the proper officer] in accordance with the provisions of this Act, then-- (a) , (b) , 6 [(3) The importer or exporter shall be liable to pay interest, .. (4) Subject the sub-section (5), if any refundable amount referred to in clause (a) of sub-section (2) is not refunded under that sub- section within three months from the date of assessment, of duty finally or re-assessment of duty, as the case may be, there shall be paid an interest on such un-refunded amount at such rate fixed by the Central Government under section 27A till the date of refund of such amount.] ..... X X X X Extracts X X X X X X X X Extracts X X X X
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