2017 (8) TMI 1041 - AT - Central Excise

Maintainability of appeal - refund of duty against export of goods made under bond - Section 35B(1) proviso to clause (b) - Held that - the present case is for rebate of duty paid on the export clearance, as provided under Section 35B(1)(b) of Central Excise Act, 1944, the case involving rebate of duty in respect of export clearance are excluded - the appeal in such case is not maintainable before this Tribunal whereas the remedy of revision application before the Joint Secretary, Revisionary Authority to Government of India is available to the assessee - appeal dismissed being not maintainable.

Summary

Issues:
1. Maintainability of the appeal for refund of duty against export of goods made under bond.

Analysis:
The judgment dealt with the issue of maintainability of an appeal regarding the refund of duty against the export of goods made under bond. The appellant claimed a refund of duty after the bond period expired, arguing that it was a case of duty refund and not a rebate claim. On the other hand, the Revenue contended that since there was no valid bond at the time of clearance, the goods had to be cleared on payment of duty under a claim for rebate. The Revenue asserted that the duty paid was refundable under the rebate provisions of Rule 18 of the Central Excise Rules, 2002. The Tribunal analyzed both arguments and concluded that the duty paid by the appellant was refundable under the rebate provisions. It noted that the case involved a rebate of duty paid on export clearance, which falls under Section 35B(1)(b) of the Central Excise Act, 1944. The Tribunal pointed out that cases involving rebate of duty in respect of export clearance are excluded from appeal remedy before the Tribunal as per Section 35B clause (b) of the Act.

Moreover, the Tribunal highlighted that the appeal was not maintainable before the Tribunal, and the appropriate remedy for the appellant was to file a revision application before the Joint Secretary, Revisionary Authority to the Government of India. The Tribunal observed that the appellant had already filed a revision application before the appropriate authority. Therefore, based on the analysis, the Tribunal dismissed the appeal as non-maintainable. The judgment emphasized the distinction between refund of duty and rebate claim, clarifying that in this case, the duty paid on export clearance was eligible for refund under the rebate provisions of the Central Excise Rules, 2002. The decision underscored the procedural aspect of seeking redressal through a revision application before the designated authority instead of appealing to the Tribunal in cases involving rebate of duty in export clearances.