Re-credit of duty debit after double payment is an adjustment, not a refund claim, so Section 11B limitation does not apply.

Re-credit of duty already debited from the Cenvat account, where the same duty was later paid again in cash in compliance with a Settlement Commission direction, is treated as an adjustment of double payment rather than a refund claim. On that basis, the limitation period under Section 11B of the Central Excise Act, 1944 does not apply to such a request. The assessee was therefore entitled to re-credit of the amount earlier debited.

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Issues: Whether re-credit of duty already debited from the Cenvat account, after the same amount was again paid in cash pursuant to the Settlement Commission's direction, was a refund claim hit by limitation under Section 11B of the Central Excise Act, 1944.

Analysis: The respondents had initially debited duty from their Cenvat account and later paid the same amount again in cash in compliance with the Settlement Commission's order. The claim before the Assistant Commissioner was not for refund of duty but for re-credit of the amount earlier debited. Such a claim was treated as a mere adjustment of duty paid twice, and not as a refund application. On that basis, the limitation prescribed for refund claims did not apply.

Conclusion: The request for re-credit was not barred by limitation under Section 11B of the Central Excise Act, 1944, and the assessee was entitled to re-credit of the amount.

Ratio Decidendi: A claim for re-credit of duty already debited, where the same duty was subsequently paid again, is an accountal adjustment and not a refund claim under Section 11B of the Central Excise Act, 1944.

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