2019 (2) TMI 561 - AT - Central Excise

Tribunal allows modification of appeal challenging refund claim, grants cash refund

Oswal Castings Private Limited Versus C.C.E. & S.T., Faridabad-I

Oswal Castings Private Limited Versus C.C.E. & S.T., Faridabad-I - 2019 (24) G. S. T. L. 649 (Tri. - Chan.) Issues:(A) Whether without filing the appeal against the orders of sanctioning the refund claim into Cenvat credit account, the appeal is maintainable before this Tribunal or notRs.(B) Whether the appeal filed by the appellant before the Ld. Commissioner (Appeals) against the order of rejection of their request dt. 28.03.2018 is barred by limitation or notRs.Analysis:Issue No. (i) - Appeal Maintainability without Challenging Refund Claim Orders:The appellant sought a refund in cash for goods exported, as per Section 142(3) of the Central Goods & Service Tax Act, 2017. The appellant initially filed rebate claims, some of which were sanctioned in cash and some in Cenvat credit account. The appellant requested modification of the order to claim the refund in cash. The Ld. Commissioner (Appeals) held that since the appellant did not challenge the order of sanctioning the refund claim, the appeal was not maintainable. However, the Tribunal found that by requesting modification, the appellant effectively challenged the adjudication order. Therefore, the appeal before the Ld. Commissioner (Appeals) was deemed maintainable.Issue No. (ii) - Limitation of Appeal Filed Before Ld. Commissioner (Appeals):The appeal filed by the appellant against the rejection of their request on 28.03.2018 was contested on the grounds of limitation. The Ld. Commissioner (Appeals) held that the appeal was time-barred as the appellant did not approach within the stipulated time. However, the Tribunal considered that the time consumed by the adjudicating authority in reviewing the modification request should be deducted from the appeal filing time. Upon deduction, the appeal before the Ld. Commissioner (Appeals) was found to be within the permissible time limit.Merits of the Case:The Tribunal noted that as per Section 142(3) of the Central Goods & Service Tax Act, 2017, all refund claims were to be sanctioned in cash. The adjudication order, which allowed the refund claim into the Cenvat credit account, was deemed to violate the statutory provision. Consequently, the impugned order was set aside, and the appellant was held entitled to the refund claim in cash. The appeal was allowed with any consequential relief.In conclusion, the Tribunal upheld the appellant's right to claim the refund in cash, as per the relevant provisions of the Central Goods & Service Tax Act, 2017, and granted the appeal with appropriate relief.