GILLOORAM GOURISHANKAR Vs. COMMISSIONER OF C. EX., RANCHI

JUDGEMENT

(1.) HEARD both sides.

(2.) THE refund claim of the appellants for unutilized duty credit on inputs used in the export product has been disallowed by the lower authorities on the ground that refund claim was filed on 22 -11 -89 beyond six months from the date of export on 20 -5 -89. There is no dispute that such refund arises in terms of Notification No. 85/87 -C.E. dt. 1 -3 -87 allowing refund of unutilized credit of input duty in relation to exported products. I find that the notification itself states that claims for such refund are to be submitted not more than once in a calendar year. As such, it is not correct to disallow refund claims merely because it is filed beyond six months from the date of export. The notification allows refund only when the manufacturer/exporter is not in a position to utilize credit otherwise and hence on this account also, the refund claim cannot be filed immediately after export without exploring ways of utilizing the credit.

(3.) IN view of my finding as above, I am of the view that the time limit of six months is not applicable and the refund has to be given in terms of the aforesaid Notification No. 85/87 -C.E., dt. 1 -3 -87. Hence, the impugned orders are set aside and the appeal is allowed with the direction that the original authority shall consider the refund claim on merit without holding the same to be time barred.