SAD refund cannot be denied for a technical invoice endorsement defect when non-availment of CENVAT credit is established.

Refund of Special Additional Duty under Notification No. 102/2007-Cus. cannot be denied merely because the sales invoice allegedly lacks an endorsement on non-availment of CENVAT credit, where the substantive refund conditions are otherwise met. The Tribunal found that the invoices produced did contain the relevant endorsement and reiterated that a technical defect in the invoice format, by itself, is not a valid ground to refuse refund if the buyer has not availed CENVAT credit. The refund was therefore held admissible, and the Revenue's challenge failed.

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Issues: Whether refund of Special Additional Duty under Notification No. 102/2007-Cus. dated 14.9.2007 could be denied for want of endorsement in the sales invoice regarding non-availability of CENVAT credit.

Analysis: The imported goods had borne SAD at the time of clearance, and the refund claim was rejected solely on the ground that the sales invoices did not carry an endorsement of non-availment of CENVAT credit. The record showed that the invoices produced before the Tribunal contained the relevant endorsement. The Tribunal also noted that the law is settled that absence of such endorsement in the manner alleged cannot by itself justify denial of SAD refund when the substantive conditions are otherwise satisfied.

Conclusion: The refund was admissible and the Revenue's challenge failed.

Ratio Decidendi: Denial of SAD refund cannot rest merely on a technical objection as to invoice endorsement where the substantive condition of non-availment of CENVAT credit is satisfied.

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