2024 (6) TMI 511

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....m of refund of terminal benefits of excise duty. 2. The petitioner was the successful bidder for the tender floated by the third respondent for the work of construction of Tsunami bund and retaining wall for 500 Mwe Prototype Fast Breeder Reactor (hereinafter referred to as "PFBR") project at Kalpakkam. The petitioner quoted the price of Rs. 32,96,82,350/- and accordingly, the petitioner was issued with work order dated 03.06.2014. As per para 21 of the work order, the Terminal benefit of Excise Duty (hereinafter referred to as "TED") is applicable and the project certificate for claiming TED for applicable goods will be issued by the third respondent. After completion of work, the petitioner submitted application to claim TED as prescribe....

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....port, the unit would be entitled for refund of TED. The claim was supported by relevant documents issued by the government authorities and as such the claim of the petitioner ought not to have been rejected since the refund of TED is an automatic. In fact, the government of India formulated the benefits available under Chapter 7 of FTP as applicable for the period of 2015-20. When the conditions prescribed are satisfied, the grant of refund of TED is automatic. The supplies to nuclear power projects are allowed to refund under Para 7.02(h) of the FTP. The construction of Tsunami protection bund and setting up of PFBR is also akin to setting up of nuclear power project. Whether it is a nuclear power project or not, is to be decided by the at....

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.....01 of the FTP refers deemed export to those transactions in which the goods supplied do not leave the country and the payment for such supplies is received either in Indian rupees or in free foreign exchange. Therefore, the construction of Tsunami protection bund and retaining wall cannot be construed as deemed export. The goods which were supplied for the ineligible project of civil construction work of Tsunami protection bund and retaining wall itself are not manufactured by the petitioner firm, as the petitioner firm itself had confessed that the goods were manufactured by a third party and directly supplied to the project site. Therefore, the petitioner does not come under the FTP and any other law for claiming refund of TED. 5.2. Sup....

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....ters is entitled to get refund of the excise duty paid on the raw materials. Likewise, under the deemed exports, by the Export Import Policy, TED is allowed. Therefore, the claim of the petitioner cannot be rejected on the ground that the goods supplied by the petitioner cannot be deemed exports. 9. That apart, on perusal of the counter filed by the third respondent revealed that as per the terms of contract, the petitioner is entitled for the TED and the third respondent required to forward a certificate issued by the beneficiary of the contract viz., M/s. Bharatiya Nabhikiya Vidyut Nigam Limited, to the first respondent. On perusal of letter dated 09.11.2015, issued by the third respondent also revealed that the refund clause of the FTP ....