Provisional duty payment and refund limitation: time runs from final assessment adjustment, not from debit in the ledger account.

Duty paid through the personal ledger account was treated as actual payment, but where clearance occurred before approval of the classification list and the duty was provisional under the self-removal procedure, refund limitation under Section 11B ran from the date of adjustment after final assessment, not from each debit entry in the account current. On those facts, the refund claim was within time and the assessee was entitled to refund.

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Issues: Whether the refund claim under Section 11B of the Central Excises and Salt Act, 1944 was barred by limitation, and whether the relevant date was the date of debit in the personal ledger account or the date of assessment of the RT-12 return after final approval of the classification list.

Analysis: Duty paid through the personal ledger account was treated as actual payment, not a mere bookkeeping entry. However, on the facts, the assessee cleared the goods before approval of the classification list and the duty so paid was provisional in character, being subject to final approval and adjustment under the self-removal procedure. In such a case, the situation fell within the clause dealing with provisional payment, so the limitation period under Section 11B ran from the date of adjustment after final assessment, not from each debit entry in the account current.

Conclusion: The refund application was not time-barred, and the assessee was entitled to the full refund.

Final Conclusion: The appeal succeeded on the limitation issue and the refund claim was held to be within time on the basis of provisional assessment and final adjustment.

Ratio Decidendi: Where duty is paid provisionally under the self-removal procedure and is subject to final assessment, the limitation for refund under Section 11B begins from the date of adjustment after final assessment, not from the date of debit in the personal ledger account.

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