TaxTMI 
TaxTMI 
2024 (1) TMI 1126
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....ch the raw materials and components imported for manufacture of vessel falling under CTH 8905 are exempted from customs duty. The dredger was to be sold to Chennai Port Trust as per the sale agreement. The goods were assessed as per the value declared in the sale agreement and duty was remitted by the appellant. Later, the appellant preferred an appeal before the Commissioner (Appeals) and the Commissioner (A) vide Order-in-Appeal No. 141/04 dated 19.08.2004 allowed the appeal observing that the benefit of Notification was also available to the imported raw materials and parts that were utilised in the manufacture of dredgers. Based on this, a refund application was filed for refund of duty amount of Rs.2,61,21,513/-. Meanwhile, the said or....
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....Trust advanced the said duty amount to the appellant. At the time of payment of duty, the Account Head "Other Direct Expenses" having Account No. E-DE-SB-2160-00 was debited on 14.05,2004. After the Commissioner (Appeals) extending the benefit of the Notification on 13.10.2004 under Account Head "Other Direct Expenses" Account was credited and corresponding debit was given to "Customs Cochin - Advance Account" bearing Account No. A-LA-CP-4507-00 by the amount of duty of Rs.2,61,21,513/-. It is further submitted that the amount equivalent to customs duty advanced by Chennai Port Trust was debited from the customer ledger of Chennai Port Trust and credited to the account "Credit Balance of Sundry Debtors" bearing Account No. L-CL-OL-3525-00. ....
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.... placed by the appellant is that it was an advance and the documents in the financial statements of the appellant shows as payable to Chennai Port Trust. The provisions of unjust enrichment are very clear and very categorical that unless and until the appellant produces evidences to show that it is not passed on to the buyer, refund cannot be sanctioned. In this case, the duty has been borne by the buyer is not under dispute and therefore, any amount of clarifications on records placed before the authorities will not entitled the appellant refund amount. Section 27. Claim for refund of duty. - (1) Any person claiming refund of any duty or interest,- (a) paid by him; or (b) borne by him, may make ....
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....ssed on by him to any other person. (2) If, on receipt of any such application, the 4 [Assistant Commissioner of Customs or Deputy Commissioner of Customs] is satisfied that the whole or any part of the 5 [duty and interest, if any, paid on such duty] paid by the applicant is refundable, he may make an order accordingly and the amount so determined shall be credited to the Fund: Provided that the amount of 5 [(duty and interest, if any, paid on such duty] as determined by the 4 [Assistant Commissioner of Customs or Deputy Commissioner of Customs] under the foregoing provisions of this sub-section shall, instead of being credited to the Fund, be paid to the applicant, if such amount is relatable to - (a) the 5 [dut....
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.... Dredger Cauvery by M/s. Cochin Shipyard to Chennai Port Trust. This letter and the contents of the letter is not disputed. Their only claim is that the amount received from the buyer is an advance which will be paid to them after the receipt of the refund claim from the authorities. As per Section 27 (2) (a) the appellant will be eligible for duty and interest, if any, paid by the importer, if he had not passed on the incidence of such duty and interest, to any other person; and in the present case it is obvious and admitted fact that duty burden was passed on to the buyer. All the decisions relied upon by the appellant are those wherein the appellants in those cases had produced sufficient evidence to prove that duties paid by them were n....
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....fund had been made prior to the amendment of the Act in 1991. Sub-section (a) of the proviso is similar to the provisions contained in Section 27(1) of the Act i.e. refund of duty paid by the importer will be allowed if he had not passed on the incidence of such duty to any other person. Section 28C of the Act would have reference to those goods which are cleared and would undoubtedly have no application to the cases of the captive consumption. It is in respect of those goods, which are cleared that Section 28C requires a person clearing the goods to indicate the amount of duty paid thereon which will form part of the price at which such goods are to be sold. It is not possible to accept the contention that because Section 28C of the Act ca....