2021 (11) TMI 698 - HC - Customs

Finalisation of provisional assessment - time limitation - It is contended that the time limit for finalisation of the provisional assessment is stipulated as two months under the Regulations and already more than six months have elapsed without such finalisation - HELD THAT - There will be a direction to the competent amongst the respondent to consider and pass appropriate orders finalising the provisional assessments, pursuant to bills of entry listed in Ext.P1, within a period of 30 days from the date of production of documents by the petitioner and after hearing the petitioner. Petition allowed.

Summary

Issues:
1. Delay in finalizing provisional assessments for imported goods.
2. Compliance with Customs (Finalization of Provisional Assessment) Regulations, 2018.

Analysis:
The petitioner sought a direction from the High Court to the respondents to complete the provisional assessments, which were initiated following the import of goods by the petitioner. The goods were cleared provisionally upon payment of customs duty and the execution of a bank guarantee. The petitioner alleged that despite the obligation under the Customs (Finalization of Provisional Assessment) Regulations, 2018, the finalization of the assessments had not been carried out within the stipulated time frame of two months. The petitioner claimed that more than six months had passed without the finalization taking place, leading to the petition being filed.

The learned Standing Counsel representing the respondents contended that there was no delay on their part. They highlighted that a notice had been issued to the petitioner requesting certain documents, and if these documents were provided, the assessment could have been completed earlier. The counsel emphasized that upon the production of the required documents, the finalization of the assessment would be promptly executed.

In response, the petitioner's counsel argued that the documents requested by the respondents had already been submitted previously. Despite this, the petitioner expressed willingness to provide the documents again promptly. Considering these submissions, the High Court directed the competent authority among the respondents to review the case and issue appropriate orders for finalizing the provisional assessments within 30 days from the date of document submission by the petitioner, following a hearing with the petitioner. Consequently, the writ petition was allowed in favor of the petitioner, providing a resolution to the delay in finalizing the assessments for the imported goods.