Importers win refund appeal for excess duty on Tetracycline import. Tribunal grants refund under Notification No.6/2002.

The Appellate Tribunal CESTAT, Mumbai allowed the appeal of importers regarding the refund of excess duty paid for the import of Tetracycline. The Tribunal held that the importers were eligible for a refund as they successfully proved that the excess duty paid had not been passed on to customers. The impugned order was set aside, and the importers were granted the refund they were entitled to under Notification No.6/2002.

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Issues: Refund of excess duty paid, eligibility for exemption under Notification No.6/2002, passing on the incidence of duty to customers

In this judgment by the Appellate Tribunal CESTAT, Mumbai, the issue at hand was the refund of excess duty paid by the importers. The Commissioner of Customs had set aside the order sanctioning the refund and allowed the appeal of the Revenue. The importers had initially paid duty at a higher rate for the import of Tetracycline, but later realized their eligibility for exemption under Notification No.6/2002, resulting in a lower duty rate. The importers applied for cancellation of out of charge and re-assessment of the Bill of Entry, which was granted. The Chartered Accountant's certificate confirmed that the excess duty paid had not been passed on to customers. The Tribunal held that the importers had successfully rebutted the presumption under Sec. 28 (D) and were therefore eligible for a refund. The impugned order was set aside, and the appeal was allowed, granting the importers the refund they were entitled to.

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