TaxTMI 
TaxTMI 
2024 (6) TMI 782
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....eel hot rolled coils' vide bill of entry no. 933779/05.02.2010 and preferred in accordance with exemption afforded through notification no. 102/2007-Customs dated 14th September 2007 to the extent that imported goods were sold as such thereafter. The claim filed on 2nd February 2011 was rejected by the original authority for non-compliance with condition (e) in second paragraph of the said notification which was affirmed by Commissioner of Customs (Appeals), Mumbai Zone -I in order [order-in-appeal no. 338/MCH/AC/REFUND(EXP)/ 2013 dated 3rd June 2015] now impugned before us. 2. We have heard Learned Counsel for the appellant and Learned Authorized Representative at length. 3. It would appear that the sole ground for rejection was that the....
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....ind that the importer could have made the relevant entries pertaining to the size of the coil being sold by hand on the sales invoices. (vii) Therefore in light of the discussions made in para 8 (v) and 8 (vi) I am inclined to construed that in absence of the details pertaining to the size on the sale invoices submitted by the importer correlation between the imported goods and the goods sold can not be established. (viii) Benefit of notification 102/2007- Cus (as amended) can be granted when the imported goods are sold in local market and sale invoices are submitted in support of the claim. From the discussions in the preceding pars it can be seen that the sale invoices do not pertain to the imported goods. Therefore xxxxxxxxxxx claims....
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....ion of the goods sold. This obviously fails to establish the nexus or correlation between the goods imported and goods sold in the local market. The adjudicating authority has also found that, there is no uniformity in the sale invoices issued. The appellant has not produced the impugned invoices for scrutiny at the Appellate level. Further, I find that while the subject bills of entry clearly show the description of goods along with the dimensions namely thickness and width, most of the sales invoices do not bear the width of the coil being sold and some of them are totally devoid of these very relevant details. The Appellants plea regarding use of old software does not entitle them to unjustified benefits. Further, the limitation of the s....
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....to be refunded for retention of level playing field. Effectively, actual user of imported goods has to live with the burden of 'special additional duty (SAD)' infusing into cost of manufacture with merchant-importers entitled to exemption by refund route. Hence it is that the sole criterion for entitlement to refund is sale and payment of tax on sale. The mechanism, as well as conditions stipulated, in the exemption notification are intended to ensure the integrity of the objective. To the extent that any circular or instruction facilitates the purpose, it may validly be relied upon and not if not. The sentiment of strict interpretation of exemption notification, espoused in the impugned order, works both ways and, to the extent that the lo....
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....nal duty; (ii) invoices of sale of the imported goods in respect of which refund of the said additional duty is claimed; (iii) documents evidencing payment of appropriate sales tax or value added tax, as the case may be, by the importer, on sale of such imported goods.' in the impugned notification. Correlation, in the context, is nothing but tabulation to ensure that the claim in the refund application corresponds to the duty paid on goods sold and that of the description in the bill of entry and in the invoices not being incompatible. We are unable to fathom the apprehension entertained by the lower authorities in the present dispute. The exemption notification does not provide for any lack, other than the conditions found in second ....