1985 (5) TMI 169 - AT - Central Excise

Summary

Issues:
1. Whether the refund claims filed by the appellants were within the time limit.
2. Whether the enhancement of the claim amount sought by the appellants was a fresh claim or an amendment in the originally filed claim.
3. Whether the appellants are entitled to the entire claim amount.
4. Whether the claim for Special Excise duty amounting to Rs. 7,395 is time-barred.

Analysis:

Issue 1:
The appellants filed refund claims for the years 1976-77 and 1977-78 under Notification No. 198/76, dated 16th June, 1976. The Department issued show cause notices questioning the timeliness of the claims. The appellants contended that the claims were within time as they were filed within six months of the Base Clearance being fixed by the Coordinating Assistant Collector. The Assistant Collector (Refund) accepted the original claims as timely. However, the subsequent claims for enhancement were rejected as time-barred. The Appellate Collector also upheld this decision. The Tribunal observed that the original claims were within time, and the subsequent claims were amendments, not fresh claims. The case was remanded to the Assistant Collector to determine the appellants' entitlement to the entire claim amount.

Issue 2:
The enhancement of the claim amount by the appellants through letters dated 11th March, 1980, and 14th March, 1980, was deemed an amendment to the original claim, not a fresh claim. The Tribunal emphasized that the cause for refund remained the same, and the department should calculate the exact refundable amount. The Tribunal directed the Assistant Collector to assess the correct refundable amount based on the original claim and the amendments made by the appellants.

Issue 3:
The Tribunal found that the appellants were entitled to the refund claim amount, subject to verification by the Assistant Collector. The Tribunal emphasized that the department should pay the exact amount due to the appellants based on the exemption notification and other grounds. The case was remanded for a thorough review of the appellants' entitlement.

Issue 4:
The claim for Special Excise duty amounting to Rs. 7,395 was deemed time-barred as it was lodged on 14th March, 1980, beyond the limitation period. The Tribunal directed the Assistant Collector to calculate and pay the correct sum payable to the appellants, considering all relevant factors and actions taken in the matter.

In conclusion, the Tribunal remanded the case to the Assistant Collector for a detailed assessment of the refund claims, emphasizing the importance of calculating and paying the exact refundable amount due to the appellants. The Tribunal clarified that the subsequent claims were amendments to the original claim and not fresh claims, and directed the Assistant Collector to reevaluate the concession admissible on the clearances and pay the correct sum accordingly.