Case Details: Commissioner of Customs (Preventive), Jamnagar Versus Lakshmi Steel Rolling Mill (2025) 31 Centax 108 (Guj.)
Judiciary and Counsel Details
- Bhargav D. Karia & D.N. Ray, JJ.
- Shri CB Gupta, for the Appellant
Facts of the Case
The Appellant, being the Department, challenged the order of the Tribunal which had allowed refund of Special Additional Duty of Customs (SAD) under Section 27(1B)(C) of the Customs Act, 1962. The core issue pertained to the computation of the limitation period in cases involving provisional assessment. The assessee had sought refund based on the date of final assessment, while the Department contended that the relevant date was the date of provisional payment of duty.
The Department relied upon Paragraph 2(c) of ‘Notification No. 102/2007-Cus., dated 14-09-2007’ as amended by ‘Notification No. 93/2008-Cus., dated 01-08-2008’ to support its stand. The Tribunal held that the limitation period for filing the refund claim was to be reckoned from the date of final assessment and completion of final proceedings, and accordingly found the refund claim to be within time. Aggrieved by this decision, the Department filed an appeal raising a substantial question of law under Section 130 of the Customs Act, 1962, and the matter was accordingly placed before the Gujarat High Court.
High Court Held
The Gujarat High Court held that the limitation period under Section 27(1B)(C) of the Customs Act, 1962 is to be computed from the date of final assessment and not from the date of provisional payment of duty. It was further held that the limitation period under the said section cannot be curtailed by way of notification or Circular. The Court concluded that no substantial question of law arose from the impugned order of the Tribunal for reference under Section 130. The decision was rendered in favour of the assessee.
List of Cases Reviewed
- Lakshmi Steel Rolling Mill v. Commissioner — Final Order No. 12723/2023, dated 8-12-2023 by CESTAT, Ahmedabad — Affirmed [Paras 2, 3.3]
List of Cases Cited
- Commissioner v. Dilip Kumar and Company — 2018 (361) E.L.T. 577 (S.C.) — Referred [Para 4.3]
- Pioneer India Electronics Pvt. Ltd. v. Union of India — 2014 (301) E.L.T. 59 (Del.) — Relied on [Para 7]
- Suzuki Motorcycle India Pvt. Ltd. v. Commissioner — 2017 (348) E.L.T. 708 (Tribunal) — Relied on [Para 7]
List of Departmental Clarification Cited
- C.B.E. & C. Circular No. 23/2010-Cus., dated 29-7-2010 [Para 4.2]
List of Notifications Cited
- Notification No. 102/2007-Cus., dated 14-9-2007 [Paras 3, 4, 4.2]
- Notification No. 93/2008-Cus. [Paras 4, 4.2, 4.3, 8]
