Time limit for scn to eou

[Amresh kumar]

We at a 100% e o u. And have executed the bond.

The department insists that by virtue of Bond the SCN can be issued after Five years also and there is no time limit for this since bond have executed.

Pl advice as the Bond executed also carry's the word that any duty demanded is subject to proviso of Sec 11.

Secondary, Audit objection was raised in December 2017 and SCN have been issued in August 2020. Is this hit by limitation act as every details was mentioned in the monthly return but ss usual dept has invoked suppression clause.

Regards

Amresh kumar

AI Summary

Debate on Time Limits for Show Cause Notices in Central Excise for 100% EOUs: Is a Five-Year Cap Valid? A discussion in a forum focused on the time limit for issuing a Show Cause Notice (SCN) in the context of Central Excise for a 100% Export Oriented Unit (EOU) that executed a bond. The department claimed no time limit existed due to the bond, but one participant argued the department's view lacked legal support, emphasizing a five-year limit and that the extended period cannot be invoked if all facts were known to the department. Others agreed, citing that suppression cannot be claimed post-audit. However, one participant disagreed, stating suppression allows a five-year period regardless of audit findings.