Refund claim barred by finality of earlier duty reversal finding, with contradictory stand rejected as unsustainable.

Refund of duty paid on rectified spirit was held not maintainable where the assessee had already reversed credit attributable to inputs used in exempted goods. The earlier final order had accepted that confirmation of an 8% demand under Rule 57CC was not proper in those facts, and that order had attained finality. The assessee could not later adopt a contradictory position that the 8% demand was payable and that the excess amount was refundable. The rejection of the refund claim was therefore upheld, and no interference was found warranted.

---

---

Issues: Whether the refund claim arising out of duty paid on rectified spirit was maintainable when the assessee had already reversed the credit attributable to inputs used in the manufacture of exempted goods and the earlier order rejecting the 8% demand had attained finality.

Analysis: The earlier final order had accepted that, where the assessee had already reversed the credit on inputs used for exempted rectified spirit, confirmation of demand at 8% under Rule 57CC was not proper. That order was not challenged by either side and had therefore attained finality. In that situation, the assessee could not take a contradictory stand that the 8% demand was payable and that the excess amount over such demand was refundable. The Tribunal also found no merit in interference with the rejection of the refund claim.

Conclusion: The refund claim was not maintainable and the assessee was not entitled to refund.

---