Double duty refund on mixed LPG storage failed where no FIFO method could link the same quantity to both tax payments.

A refund claim based on alleged double payment of excise duty on the same LPG consignment was rejected because the LPG was stored in mixed, continuously moving refinery tanks and no FIFO method was used to identify the quantities cleared. In the absence of a reliable identification method, it could not be established that the imported LPG on which customs duty had already been paid was the same quantity later subjected to excise duty. The claim of double payment was therefore not proved, and the refund failed.

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Issues: Whether the appellant was entitled to refund on the footing that excise duty had been paid twice on the same LPG consignment stored and cleared from mixed refinery tanks.

Analysis: The goods were kept in storage tanks containing continuously moving quantities of LPG, and the appellant disclaimed any FIFO method for identifying which quantity entered or left the tanks. In the absence of any such method, it was not possible to determine with certainty that the imported LPG on which customs duty had already been paid was the same quantity on which excise duty was later paid. The claim of double payment was therefore not established.

Conclusion: The refund claim failed and the appeal was not liable to be interfered with.

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