Transitional refund claim after time-barred rebate rejection must be raised by substantive application, not direct writ relief.

Where rebate claims on exports made on payment of duty were rejected as time-barred, the Bombay HC noted that any alternative claim for return of excess duty under the transitional mechanism was not part of the proceedings leading to the impugned orders. It held that such entitlement had to be specifically asserted through a substantive application before the designated officer under Section 142(3) of the CGST Act, 2017, rather than sought directly in writ proceedings. The court therefore declined direct writ relief for cash re-credit and directed the petitioners to pursue the statutory route for consideration of the claimed refund or re-credit.

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Issues: Whether, after rejection of time-barred rebate claims in respect of exports on payment of duty, the petitioner could directly seek re-credit or cash refund in writ proceedings under the transitional provisions, or was required to file a substantive application before the designated officer under Section 142(3) of the Central Goods and Services Tax Act, 2017.

Analysis: The petitions concerned exports made on payment of duty under Rule 18 of the Central Excise Rules, 2002 read with Notification No. 21/2004-C.E. (N.T.) dated 06 September 2004. The rebate claims had already been rejected as time-barred, and the petitioners advanced an alternative case that the duty paid on exports, being excess duty, had to be returned in the same form and could be claimed under the transitional mechanism. The Court held that such entitlement was not part of the proceedings culminating in the impugned orders and had to be specifically asserted by way of a substantive application. The petitioners were therefore required to approach the designated officer under Section 142(3) of the Central Goods and Services Tax Act, 2017.

Conclusion: Direct writ relief for cash re-credit was not granted, and the petitioners were directed to file a substantive application before the designated officer for consideration of the claimed return of excess duty.

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