TaxTMI 
TaxTMI 
2024 (7) TMI 1268
X X X X Extracts X X X X
X X X X Extracts X X X X
....er, Barge, and Railmount goods imported against Bill of Entry No. 2215226 dtd. 27.02.2019 by availing the benefit of Customs Notification No. 16/2015-Cus. dtd. 01.04.2015, as amended by Customs Notification No. 79/2017-Cus. dtd. 13.10.2017. Vide impugned Order-in-Original No. AHM-CUSTM-000-COM-11-23-24 dtd. 27.07.2023 the Ld. Commissioner has rejected the IGST exemption availed by the Appellant under EPCG Scheme as per Notification No. 16/2015-Cus. dtd. 01.04.2015, as amended by Notification No. 79/2018-Cus. dtd. 13.10.2017. By the impugned order demand of custom duty in liew of IGST of Rs.12,12,48,161/- was confirmed, the capital goods imported by the Appellant have been held to be liable for confiscation under Section 111(m) and 111(0) of....
X X X X Extracts X X X X
X X X X Extracts X X X X
....ulfilment of export obligation only if exemption from payment of IGST had not been availed. However, under the terms of said authorization, the appellant was required to meet its export obligation within period of 6 years i.e by 20.01.2025. Accordingly, no proceedings could have been initiated in respect of the exports undertaken by the Appellant towards fulfilment of export obligation until the expiry of export obligation period. 4. Without prejudice he also submits that as per Para 5.04(a) of the Foreign Trade Policy, the Export Obligation can be fulfilled by an Authorisation holder through export of goods which are manufactured by him or his supporting manufacture/services rendered by him, for which the EPCG authorisation has been gra....
X X X X Extracts X X X X
X X X X Extracts X X X X
....riod, it has provided vessel related services to foreign vessels which have carried cargo to/and from India and has fulfilled the Export Obligation by earning convertible foreign exchange. The Appellant has raised invoices on the Indian Agents of Foreign Vessels. The Indian Agents acting as intermediaries of the foreign vessels have paid the consideration to the Appellant in Indian Rupees, out of the total remittance receivable by them from foreign vessels. The Indian agents acting as intermediary has paid the Appellant out of such foreign remittances receivable by them in foreign exchange and has satisfied the required terms towards fulfilment of its Export Obligation. He placed reliance on the decision of Hon'ble Supreme Court in the case....
X X X X Extracts X X X X
X X X X Extracts X X X X
....d towards discharge of export obligation under the EPCG, only in Authorization where exemption for Integrated Tax and Goods and Services (IGST) compensation cess is not availed. 10. We find that the EPCG License was issued to the Appellant on 21.01.2019 and under the terms of the said License, the Appellant was required to meet its export obligation within a period of 6 years, i.e by 20.01.2025. We also find that this fact has neither been disputed in the show cause notice nor in the impugned order passed by the Ld. Commissioner. The department has to initiate the proceedings only after the expiry of the licencing period. Therefore in our view any proceeding prior to this period is purely premature and the impugned order confirming deman....
X X X X Extracts X X X X
X X X X Extracts X X X X
.... Para 5.2 of Circular No. 16/2023-Cus dtd. 07.06.2023 state that as per the Hon'ble Supreme Court's judgment in the case of Union of India & Ors. Vs. Cosmo Films Ltd. 2023 (72) G.S.T.L. 417 (S.C.) / (2023) 5 Centax 286 (S.C.), importer of goods, who do not meet the pre-import conditions, are required to pay GST and Compensation Cess, as the case may be. However, the Hon'ble Court also permitted the assesses to claim refund or avail Input Tax Credit, while specifically stating that a Bill of Entry rather than a challan would be prescribed documents for this purpose. 13. We also noticed that in the present matter IGST amount paid by the Appellant on import of goods was available as ITC (Input Tax Credit) to the Appellant and hence there wa....