2024 (3) TMI 370 - HC - Customs

Refund of duty paid - Illegal imposition of Agricultural Infrastructure Development Cess (AIDC) - denial of exemption benefit under TRQ for import of crude soyabean oil - Seeking the Notification dated 10.05.2023, issued by the Custom Authorities be made applicable retrospectively with effect from 01.04.2023 - HELD THAT - Counter affidavit has been filed by the Union of India in W.P. (C) 5510/2023, wherein reference is drawn to Notification issued by the Department of Revenue dated 10.05.2023, extending the benefit under TRQ till 30.06.2023. By Public Notification dated 11.01.2023, the TRQ was discontinued with effect from 01.04.2023, however, by the Notification dated 10.05.2023, the same has been made coterminus with the Public Notice issued by the DGFT dated 11.01.2023, which extends the benefit upto 30.06.2023. Accordingly, as per the counter-affidavit, benefit under TRQ stands extended till 30.06.2023. Thus, petitions are disposed of holding that the benefit under TRQ being extended till 30.06.2023, the imports made in terms of the extant policy where the Bills of Lading are dated on or before 31.03.2023, would be covered under the said policy if the goods had landed before 30.06.2023. Consequently, the consequential relief of refund of duty if any paid by the petitioners be also granted in accordance with law, subject to petitioners making the necessary compliances in law.

Summary

Issues involved:
The issues involved in this case are the impugning of Notification No. 15/2023 dated 03.03.2023 in W.P. (C) 5510/2023 and seeking retrospective application of the Notification dated 10.05.2023 in W.P. (C) 3018/2024. The petitioners are aggrieved by the illegal imposition of Agricultural Infrastructure Development Cess (AIDC) and denial of exemption benefit under Tariff Rate Quota (TRQ) for the import of crude soyabean oil.

W.P. (C) 5510/2023:
In this case, the petitioner challenged Notification No. 15/2023 dated 03.03.2023 and sought the issuance of an appropriate Notification for the clearance of imports of Tariff Rate Quota (TRQ) consignment in line with the Public Notice dated 01.03.2023. The petitioners contended that the Ministry of Finance's Notification did not extend the benefit to consignments covered under Bills of Lading dated on or before 31.03.2023, resulting in the payment of AIDC and custom duty on such consignments.

W.P. (C) 3018/2024:
In this matter, the petitioner additionally sought the retrospective application of the Notification dated 10.05.2023 issued by the Custom Authorities, with effect from 01.04.2023. The petitioners claimed that they were aggrieved by the illegal imposition of AIDC and the denial of exemption benefit under TRQ for the import of crude soyabean oil.

Judgment:
The Court disposed of the petitions by holding that the benefit under TRQ has been extended till 30.06.2023 as per the Notification dated 10.05.2023. Therefore, imports made in accordance with the extant policy, where the Bills of Lading are dated on or before 31.03.2023, would be covered under the policy if the goods had landed before 30.06.2023. The Court further directed that the consequential relief of refund of duty, if any paid by the petitioners, should be granted in accordance with the law, subject to the petitioners fulfilling the necessary compliances.