Duty paid under protest keeps refund claims outside Section 11B limitation when protest procedure is properly satisfied.

Where duty is paid under protest and the protest procedure is satisfied, the six-month limitation under the proviso to Section 11B does not bar a refund claim. The assessee's letter was treated as sufficient compliance with Rule 233B, so the payment retained its protest character and limitation could not defeat the claim. The subsequent favourable appellate orders further supported the refund entitlement, and the refund application filed within the relevant period was not time-barred. Consequential refund relief therefore remained admissible.

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Issues: Whether the assessee's letter constituted payment of duty under protest so that the refund claim was not barred by the six months' limitation under Section 11B; whether, in the absence of a separate formal refund claim, refund was nevertheless payable consequent to the appellate order; and whether the refund application filed within six months of the favourable orders was time-barred.

Analysis: The reference was answered in favour of the assessee by the High Court, which held that the duty had been paid under protest and that the letter dated 12-7-1991 satisfied the procedural requirement under Rule 233B. Once the payment was treated as made under protest, the statutory limitation under the proviso to Section 11B(1) did not defeat the refund claim. The subsequent appellate relief and the filing of the refund claim within the relevant period reinforced that the refund was admissible and not barred by time.

Conclusion: The refund claim was not hit by limitation and was liable to be allowed in favour of the assessee.

Final Conclusion: The reference having been answered against the revenue on the limitation issue, the assessee became entitled to consequential refund relief.

Ratio Decidendi: Where duty is paid under protest and the procedural requirement of protest is satisfied, the limitation period for refund under Section 11B does not apply to defeat the claim.

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