2021 (10) TMI 543 - AT - Customs

Refund of SAD - appellant has not furnished the Chartered Accountant certificate as well as correlation statement as required under para 5 of Circular No. 6/2008-Cus dated 28.4.2008 - benefit under N/N. 102/2007- Cus. dated 14.8.2017 denied - HELD THAT - The Board vide Circular No. 16/2008-Cus has clarified that it is not required to produce the original challans. In the present case, there is no doubt with regard to any of the VAT / ST paid by the appellant. It is summarily rejected stating that the appellant has not produced the original challans. As per the circular, the authority cannot insist for producing the entire original VAT / ST challans unless any deficiency memo is issue informing discrepancy. The appellant having furnished Chartered Accountant certificate and the Commissioner (Appeals) having recorded that it stands correlated the rejection holding that appellant has not furnished the original of VAT / ST challan is unjustified. Appeal allowed.

Summary

Issues:
Refund claim rejection based on failure to produce original ST/VAT challans despite Circular No. 16/2008 clarification.

Analysis:
The appellant applied for a refund of SAD following Notification No. 102/2007-Cus. The original authority rejected the claim due to missing documents. The Commissioner (Appeals) upheld the rejection citing non-compliance with Circular No. 6/2008-Cus. The Tribunal remanded the matter for further examination by the Commissioner (Appeals) to ensure natural justice. The Commissioner (Appeals) again rejected the claim for not submitting original ST/VAT challans despite Circular No. 16/2008 allowing copies with a Chartered Accountant certificate.

The appellant argued that Circular No. 16/2008 does not mandate original ST/VAT challans but allows copies with a Chartered Accountant certificate. The department supported the rejection. The Tribunal noted the Circular's provision and ruled that the rejection based on missing original challans was unjustified. The impugned order was set aside, and the appeal was allowed with consequential relief.

In summary, the key issue revolved around the rejection of the refund claim for not producing original ST/VAT challans. The judgment clarified the applicability of Circular No. 16/2008, emphasizing that copies with a Chartered Accountant certificate suffice for refund claims. The Tribunal's decision highlighted the importance of following circular provisions and ensuring procedural fairness in such matters.