2021 (9) TMI 553 - HC - Customs

Court dismisses Writ Petition, emphasizes on factual assessment. Petitioner allowed to defend case before Competent Authority.

The court dismissed the Writ Petition seeking an injunction against assessment contrary to the advance ruling, allowing the petitioner to defend their ... Clearance of goods as stock transfers for self-consumption - transfer from a unit located in Free Trade Warehousing Zone to Domestic tariff Area unit - injunction restraining the respondents from carrying out any assessment in contravention with the advance ruling in M/S GE INDIA INDUSTRIAL PVT LTD VERSUS COMMISSIONER OF CUSTOMS (EXPORT) [2013 (6) TMI 10 - AUTHORITY FOR ADVANCE RULINGS] - HELD THAT:- No writ needs to be entertained in a routine manner. The application of advance ruling in the abovementioned case or otherwise may arise only if an assessment order is passed even before taking a decision by the Competent Authority. The writ petitioner has chosen to file the present Writ Petition merely on the ground that the authorities are attempting to pass an assessment in contravention with the advance ruling in the mentioned case. The relief cannot be granted in anticipation in such circumstances. The authorities are in the process of consideration. The petitioner would be getting an opportunity to defend their case. The application of advance ruling or otherwise is to be ascertained with reference to the facts and circumstances placed before the Competent Authority - the petitioner is at liberty to place all their objections or apprehensions or advance ruling or otherwise before the Competent Authority at the time of passing of the final assessment orders. Petition dismissed. Issues:Petition seeking injunction against assessment contravening advance ruling dated 27.05.2013.Analysis:The petitioner filed a Writ Petition seeking an injunction to prevent the respondents from carrying out any assessment that goes against the advance ruling dated 27.05.2013. The court noted that the petitioner's apprehensions do not warrant immediate action as the application of the advance ruling may only be relevant once an assessment order is passed. The court emphasized that the relief sought cannot be granted in anticipation, especially when the authorities are still considering the matter. The petitioner will have the opportunity to present their objections and advance ruling before the Competent Authority during the final assessment process. Therefore, the court dismissed the Writ Petition, allowing the petitioner to defend their case before the Competent Authority without granting the requested injunction.The judgment highlighted that the petitioner's concerns were based on the authorities potentially passing an assessment contrary to the advance ruling. However, the court emphasized that the petitioner should address their objections and present the advance ruling to the Competent Authority during the final assessment proceedings. The court reiterated that the decision on the application of the advance ruling should be made based on the facts and circumstances presented to the Competent Authority during the assessment process. Therefore, the court concluded that the relief sought by the petitioner could not be granted at the present stage, and the petitioner should defend their case before the Competent Authority.In conclusion, the Writ Petition was dismissed by the court, and no costs were awarded. The court clarified that the petitioner has the liberty to defend their case before the Competent Authority and present all objections or advance rulings during the final assessment proceedings. The judgment closed the connected Miscellaneous Petitions, bringing the matter to a conclusion without granting the injunction requested by the petitioner.