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Customs Act does not allow payment of interest on duty collected in excess
Customs Act does not allow payment of interest on duty collected in excess
Appellant imported certain goods. Assistant Collector (Customs) enhanced the value on which duty was paid. Commissioner (Appeals) accepted the declared value, and allowed refund of demurrage charges, but denied payment of interest, as appellant did not file claim u/s 27. Tribunal dismissed the appeal and held that there is no provision in Customs Act for payment of interest on the duty collected in excess.-900358
- Appellant imported certain goods from abroad.
- The Assistant Collector (Customs) enhanced the value on which duty was paid by the Appellants.
- The Commissioner (Appeals) has accepted the value as declared by the Appellants.
- The Appellants requested for refund of excess duty alongwith interest and refund of demurrage charges paid by them.
- The Commissioner (Appeals) allowed the refund, but denied payment of interest as the applent had not filed the claim u/s 27.
On appeal, the Tribunal held as under:
6. Provisions of Section 27 does not deal with the refund of any demurrage charges or payment of interest from the date duty in excess was paid.
7. Accordingly the Appellants have to claim the refund of duty from the Departmental Authorities within the four corners of the provisions of the Act.
8. There is no provision in the Customs Act providing for payment of interest on the duty collected in excess from the date of payment.
9. Similarly, there is no provision for refund or reimbursement of demurrages Charges paid by an assessee.
Case Reference - M/S. Sawnney Export House P. Ltd. vs Cc
Customs, Excise and Gold Tribunal - Delhi
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