2016 (4) TMI 50 - AT - Customs

Appeal allowed as refund claim, filed at wrong location, within time limit, is not time-barred

The appeal challenged the rejection of a refund claim filed at the wrong location as time-barred. The Tribunal, referencing a previous order and a High ... Refund claim filed before wrong authority - period of limitation - jurisdictional requirement for filing refund - forwarding of refund application by receiving authority - condonation of delayRefund claim filed before wrong authority - period of limitation - jurisdictional requirement for filing refund - forwarding of refund application by receiving authority - Whether a refund claim originally filed within the prescribed time before a non jurisdictional customs authority is barred by limitation when it is later forwarded to the jurisdictional authority after the limitation period has expired. - HELD THAT: - The Tribunal held that where the original refund application was presented within the stipulated time limit, albeit before a non jurisdictional authority (ICD Dadri), the subsequent receipt of that claim by the jurisdictional authority (CFS Mulund) after the expiry of the prescribed period does not render the claim time barred. The decision follows the Tribunal's earlier order in the appellant's own case dated 31.10.2014, which applied the ratio of the Gujarat High Court in Commissioner of Central Excise v. AIA Engineering Ltd., that filing within time before a wrong authority precludes a finding of bar by limitation. In view of these authorities and the identical facts, the Tribunal accepted the appellant's contention that the claim could not be held time barred merely because the claim was mistakenly filed at ICD Dadri and forwarded later to CFS Mulund. [Paras 5]Impugned order set aside and appeal allowed; refund claim not barred by limitation and consequential relief granted in accordance with law.Final Conclusion: The Tribunal allowed the appeal, holding that a refund claim filed within time before a wrong customs authority cannot be held time barred when subsequently forwarded to the jurisdictional authority; the impugned order rejecting the refund as time barred was set aside and consequential relief granted. Issues:Refund claim filed at the wrong location - rejection on the grounds of being time-barred.Analysis:The appeal challenged the Order-in-Appeal passed by the Commissioner of Customs (Appeals) Mumbai-I regarding a refund claim filed at ICD Dadri instead of CFS Mulund. The Customs authority forwarded the claim to the wrong location, leading to rejection based on being time-barred as the prescribed time limit had expired upon receipt at the correct location.The appellant's counsel cited a previous Tribunal order in the appellant's own case, where a similar issue was addressed. The Tribunal, following a judgment of the Hon'ble High Court of Gujarat, ruled that filing a refund claim within the time limit before a different authority does not render it time-barred.On the contrary, the Assistant Commissioner representing the Revenue reiterated the findings of the impugned order, emphasizing the rejection based on the expired time limit.After considering both sides' arguments, the Member (J) referred to the earlier Tribunal order in the appellant's case, which highlighted a similar scenario. The previous order discussed the requirement of filing claims with the jurisdictional customs officer and cited a judgment of the Hon'ble High Court of Gujarat regarding the period of limitation and the competency of the authority to sanction refund claims. The High Court held that filing the original application for refund within the time limit, albeit before the wrong authority, did not render the application time-barred.Based on the similarity of facts and issues with the previous order and the High Court judgment, the Member (J) set aside the impugned order and allowed the appeal with any consequential relief, in line with the law.