Remission of duty for molasses handling losses applies where loss is below the prescribed limit and late intimation is irrelevant.

Remission of duty on molasses loss was allowed where the loss arose from storage and leakage during transfer and was treated as handling loss. The Tribunal held that the Trade Notice requirement to intimate the Range Superintendent within 24 hours did not apply to such losses, so delayed intimation could not defeat relief. It also relied on the Board circular stating that remission was admissible where such losses were below 2%. On that basis, the assessee's claim for remission was upheld and rejection on the ground of late intimation was found unsustainable.

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Issues: Whether remission of duty was admissible on loss of molasses arising from storage and handling, and whether failure to intimate the Range Superintendent within 24 hours under the Trade Notice disentitled the assessee from relief.

Analysis: The loss claimed was 0.79% during the relevant season. The Tribunal noted that losses occurring due to storage and leakage while transferring molasses were handling losses, and that the 24-hour intimation requirement in the Trade Notice was not applicable to such losses. It further relied on the Board circular which clarified that where such losses were below 2%, remission of duty was allowable.

Conclusion: The assessee was entitled to remission of duty, and the rejection based on delayed intimation under the Trade Notice was unsustainable.

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