Goods exported from India to Canada under RODTEP & IGST.
Part of the goods returned back within 20 months as goods were defective.
Filed for import clearance under notification 045/2017, serial no. 1A.
RODTEP & IGST claimed at time of export paid back to customs, as detailed under ntfn 045/17.
Customs is insisting upon payment of interest on RODTEP & IGST refunded, although the notification does not ask for interest, only for refund of drawback, RODTEP, IGST claimed at the time of export.
Please advise.
Debate on Interest Payable for Reimported Goods under RODTEP and IGST: Sections of Customs and CGST Act Discussed A discussion on a forum revolves around the reimport of goods exported from India to Canada under RODTEP and IGST, which were returned due to defects. The initial query seeks advice on whether interest is payable on the refunded RODTEP and IGST, as the notification does not specify this requirement. Respondents debate the applicability of interest under various sections of the Customs Act and CGST Act, with differing opinions on whether interest is mandatory. Some argue that interest is not justified if IGST was promptly refunded upon reimport, while others maintain that interest is due to compensate for revenue loss. (AI Summary)
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