2006 (11) TMI 526 - AT - Customs

Summary

Issues involved: Duty demand on recovered Central Excise duty from buyers for imported fuels distributed in India; Interpretation of Section 28B of Customs Act regarding excess collection of CVD not deposited to the Govt.

In this judgment by the Appellate Tribunal CESTAT, AHMEDABAD, the duty demand was challenged by the Appellant on the basis that they had recovered Central Excise duty from buyers for imported fuels distributed in India. The demand was confirmed under Section 28B of Customs Act for not depositing excess collection of CVD to the Government. The Appellant argued that previous Tribunal orders favored them, and the issue was settled in their favor. The Tribunal noted that the invoices indicated the rate of Excise duty but no amount was specified, and the common invoice proforma was used without actual collection of excise duty. It was concluded that the Section applies to the collection of any amount as duty, which was not the case here. Therefore, the appeal was allowed, and the impugned order was set aside. The judgment highlighted the importance of proper disclosure and actual collection of duty to determine liability accurately.