Refund of cenvat credit for deemed exports: claim barred when filed beyond one year from quarter end.

Clarifies that for refund of cenvat credit relating to deemed exports the "relevant date" for limitation is the last day of the period (quarter) for which refund is claimed, and the statutory one-year limitation runs from that date. The procedural scheme permitting an initial one-month filing and any prescribed extended period must be read against that relevant date; consequently a refund application filed more than one year after the quarter end is time-barred. The decision concludes that a claim for the OctoberDecember quarter filed after the one-year period is barred by limitation and dismissed.

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Issues: Whether the CESTAT was correct in holding that the refund claim of cenvat credit pertaining to deemed export of goods under Rule 5 of the Cenvat Credit Rules for the quarter October to December, 2009 is hit by the bar of limitation under Section 11B of the Central Excise Act, 1944.

Analysis: Section 11B prescribes a one year period from the relevant date to apply for refund. The statutory explanations to Section 11B do not specifically cover supplies between 100% EOUs in the facts of this case. The refund procedure under the applicable notification (dated 01.03.2002) allowed EOUs to claim refund with reference to calendar periods, thereby making the relevant date referable to the last day of the period/quarter for which refund is claimed. Applying that framework, the relevant date for the quarter OctoberDecember 2009 is 31.12.2009; the one year limitation under Section 11B therefore expired on 31.12.2010 while the application was filed in March 2011.

Conclusion: The refund claim for the quarter October to December, 2009 is barred by limitation under Section 11B of the Central Excise Act, 1944; the appeal is dismissed (decision in favour of Revenue).

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