Streamlining Procedure of Re-credit of DEPB or Refund of Duties

The following Public Notice was issued by the Commissioner of Customs (Import) Jawaharlal Nehru Custom House on 1st April 2010.

[Customs Public Notice No. 41 dated 1st April 2010]

Subject: Streamlining the procedure of re-assessment consequent to Order-in-Appeal/CESTAT Order etc. resulting in re-crediting of DEPB Scrip/Grant of refund.

Attention of all importers, CHA, trade and all others concerned is invited to the cases where appellate authorities/courts order re-assessment of the Bill of Entry after import clearances which result into consequential re-credit of DEPB scrips or refund of duties paid. In such cases, if re-assessment is done in EDI, there will be an automatic re-credit of the DEPB scrip. It results in grant of refund without examining the aspect of unjust enrichment and other procedural aspects as provided under Section 27 of the Customs Act, 1962.

2.   It is hereby directed that prior to re-assessment and re-credit of the consequential refund to the relevant scrips, the cases of consequential refunds arising out of orders passed by appellate authorities and courts, shall be forwarded to the concerned Centralised Refund Section for sanction of refund. The concerned AC/DC of the CRC Section shall pass a formal order after following principles of natural justice. Only after an order sanctioning the refund has been issued, the file be forwarded to Systems Manager for cancellation of ‘Out of Charge’ for re-assessment for the purpose of re-credit of refund amount to DEPB Scrip or entering departmental comments regarding payment of refund.

F.No.S/22-Gen-06/2010 AM(I)