Duty Drawback

[Adarsh Gupta]

Hi,

A co due to ignorance did not claim duty drawback for the last 2.5 years..can they claim it now..is there any process..?

Regards.

[KASTURI SETHI]

Time limit for filing Drawback Claims

(1) Maximum time limit including extensions is one year from the date of Let Export Order under Rules 6 and 7 of Customs and Central Excise Duties Drawback Rules, 2017.

(2) Maximum time limit including extensions is 18 months from the date of publication of All Industry or from the date of communication of the brand rate of drawback for supplementary claims under Rule 16 of Customs and Central Excise Duties Drawback Rules, 2017.

(3) Maximum time limit including extensions is one year from the date of Let Export Order under Rule 5 of Re-export of imported goods (Drawback of Customs Duties Rules, 2017) in respect of Re-export of imported goods.

In view of the above, drawback claim is hit by time bar. There is no escape route.

[Adarsh Gupta]

Thanks Sir. Could you please also share the procedure for claiming DDBK for shipping bills within one year of Let Export Order. Exporter has not claimed DDBK in it's shipping bill, however have realised within one year of let export order it's mistake. How can he claim now?

Regards.

[KASTURI SETHI]

What do you mean by the wordings, "realised within one year of let export order it's mistake" ?

If you have not mentioned the requisite information in the Shipping Bill (which is itself an application for drawback claim), you were required to apply for drawback claim within the period (already mentioned) from the date of 'Let Export Order'. That period has expired. Your client has missed the bus.

[Adarsh Gupta]

Sir,

The company was of a bona fide belief that it was not eligible for DDBK and thus didn't claimed the same in its shipping bills. Now, some-one has advised the company that it was eligible for DDBK and thus company wishes to claim for the period within limitation. Whether a manual application needs to be filed to the jurisdictional officer and whether there are any specified form and procedure to claim the same.

Regards,

ADARSH GUPTA

[KASTURI SETHI]

No use of repetition. I stick to my earlier replies detailed above. Go by the law and not by hearsay.

AI Summary

Duty drawback limitation periods bar late drawback claims after prescribed filing windows, including shipping bill omissions.
Time limits govern duty drawback: one year from the date of Let Export Order for standard and re-export claims, and eighteen months from publication or communication of All Industry or brand rates for supplementary claims. The shipping bill serves as the initial application for drawback, and omissions therein do not extend the statutory filing period. Claims filed after these prescribed limitation periods are time-barred with no procedural remedy to revive them under the Rules.