2007 (11) TMI 169 - AT - Central Excise

Reversed the credit from RG-23A Part-II account under protest and duly recorded therein - suo motu recredited the same amount - appellant again debited the said amount under protest as duly recorded in their letter adj. authority didn t consider the case law according to which endorsement of protest on TR-6 challan sufficient compliance of payment under protest, bar of limitation is not applicable - rejection of the refund claim on limitation is set aside and the matter is remanded back

Summary

Issues:
Appeal against rejection of refund claim on the ground of limitation.

Analysis:
The appellant debited an amount under protest due to freight and insurance charges not included in the assessable value, re-credited it, and then debited it again under protest. The refund claim was filed within the stipulated period, argued by the appellant's advocate citing relevant case laws. The respondent's representative contended that the appellant failed to follow the prescribed procedure for payment under protest. The Tribunal found that the appellant's actions of debiting and re-crediting under protest, duly recorded, constituted sufficient compliance with the rules. The Tribunal referred to previous cases where similar actions were considered compliant with payment under protest requirements. The rejection of the refund claim on the basis of limitation was set aside, and the matter was remanded back to the adjudicating authority for a decision on merit. The appeal was allowed by way of remand.