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TMI Blog2014 (1) TMI 1828X X X X Extracts X X X X X X X X Extracts X X X X ..... ave framed in the matter, also having regard to any other law, if any, that may have a bearing or which impinges thereon. Once, therefore, the RBI has clarified that it has not stipulated any time period for the realization of the sale proceeds for the SEZ units, as the assessee, it can only be considered as having allowed an indefinite time period for the same. Consequently, it cannot be said that the condition of section 10A(3) is not satisfied. The objection of the Revenue is, in our view, not valid. The non-stipulation of any time frame by the RBI for the realization and repatriation of the export proceeds for the units located in SEZs does not per se lead to any conflict or inconsistency between the same and the provisions of the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... from the Reserve Bank of India (RBI), clarifying that no time limit stood prescribed for realization of the export proceeds for export units located in Special Economic Zones (SEZs). 3. Before us, the cases of both the parties were the same, with the assessee relying on Master Circular No. 10/2011-12 (dated 01.07.2011/PB pgs.19-23), which clarifies that no specific time limit has been prescribed in respect of units in SEZs for realization and repartition of the export proceeds. 4. We have heard the parties, and perused the material on record. 4.1 The primary facts of the case are not in dispute. That is, that the assessee is a unit located in SEZ and, two, that neither were the export proceeds realized in convertible foreign excha ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... erve Bank of India. It is thus clear that the law does not provide an inflexible condition in the matter; leaving it to the competent authority, the RBI, whose decision, besides being binding on the Revenue, would presumably only be with regard to and on an assessment of the facts and circumstances of the case, apart from being consistent with any policy guideline it may have framed in the matter, also having regard to any other law, if any, that may have a bearing or which impinges thereon. Once, therefore, the RBI has clarified that it has not stipulated any time period for the realization of the sale proceeds for the SEZ units, as the assessee, it can only be considered as having allowed an indefinite time period for the same. Con ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ds. Accordingly, there shall be no prescription of any time limit for realization of exports made by units in SEZs. However, the units in SEZs will continue to follow the GR/PP/SOFTEX export procedure outlined in Part B of Annexure to A.P. (DIR Series) Circular No.12 dated September 9, 2000 as amended from time to time. B. We are, however, unable to read the relevant clause A supra in the manner as projected by the Revenue per its Gd.2. All it, to our mind, clarifies is that the extended time period, which prior to 01.04.2003 stood at twelve months (from the date of export), shall henceforth, i.e., w.e.f. 01.04.2003, extend indefinitely again, from the date of export itself. The Revenue s relevant ground is, thus, equally mi ..... X X X X Extracts X X X X X X X X Extracts X X X X
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