2010 (4) TMI 185 - AT - Service Tax

Notification No.43/2002-Cus dt.19.4.02- The appellant imported 114 MT of the Castor oil seeds claiming benefit of Notification No.43/2002-Cus dt.19.4.02 (DEEC) against advance licence issued by DGFT for duty free import for the goods specified in the licence. Held that- the appellant could not produce the EODC certificate within time before the lower authorities and without EODC certificate the lower authorities have confirmed the duty and interest against the appellant. But as the certificate is on record I find that it would be appropriate to send the matter back to the original adjudicating authority to verify the same along with relevant records and pass the appropriate order. The appeal is allowed by way of remand.

Summary

Issues:
1. Claim of benefit of Notification No.43/2002-Cus for duty-free import.
2. Non-production of evidence regarding discharge of export obligations.
3. Failure to furnish EODC certificate from DGFT in time.
4. Appeal for allowing based on obtaining EODC certificate.

Analysis:
1. The appellant imported Castor oil seeds claiming benefit under Notification No.43/2002-Cus against an advance licence for duty-free import. However, the appellant failed to provide evidence of fulfilling export obligations after the licence validity expired, leading to a show cause notice for duty and interest, which was confirmed by lower authorities.

2. The appellant, through written submissions, claimed to have exported refined Castor oil after further processing the seeds, fulfilling export obligations. Although the EODC certificate from DGFT was not submitted to the lower adjudicating authority on time, it has now been obtained and enclosed with the written submission, requesting the appeal to be allowed on this basis.

3. The Tribunal noted that the appellant could not produce the EODC certificate timely before lower authorities, resulting in the confirmation of duty and interest. However, since the certificate is now on record, the matter is to be remanded back to the original adjudicating authority for verification along with relevant records to make an appropriate decision based on the newly submitted certificate.

4. In conclusion, the appeal is allowed by way of remand, indicating a favorable outcome for the appellant upon submitting the EODC certificate. The decision emphasizes the importance of fulfilling procedural requirements, such as timely submission of necessary documents, in customs matters to avail benefits and avoid adverse consequences.