Dated 7th April, 2020
Recently, Hon’ble Apex Court observed [1]that only the officer who has assessed the goods at the time of clearance or his successor or any other officer authorized to exercise power within the same office, the Appraisal Group can re-assess the goods. The intention to authorize “The Proper Officer” to recover duties under Section 28(4) of the Customs Act, 1962 to issue SCN, is to confer the power to recover such duties not on any proper officer but on the officer with the same designation that assessed the goods at the time of clearance. In the said backdrop, the Hon’ble Supreme Court held that the Directorate of Revenue Intelligence (DRI) is not empowered to issue SCN to recover duties when the officer of concerned Appraising Group allowed exemption from duties of customs at the time of clearance.
Whether the proceedings initiated by the ADG, DRI for recovery of duty under section 28(4) of the Customs Act, 1962 after the first assessment and clearance of goods by a customs officer of concerned Appraisal Group are valid in law
CBIC may issue a circular or internal instruction to keep the SCN issued by DRI under abeyance till any amendment is done in the Customs Act, 1962. However, filing the writ at this point of time can accrue the benefits in favor of the notice, and BT Associates will assist and guide you in reaping the benefit.
For the detailed analysis of how can this judgment accrue benefits in favour of business, please contact BTA at thakkar@btassociate.com
[1] M/s CANON INDIA PRIVATE LIMITED VS COMMISSIONER OF CUSTOMS [CIVIL APPEAL NO. 1827 OF 2018]
[2] Notification No. 25/2005 dated 01.03.2005 amended by Notification No. 15/2012 dated 17.03.2012
[3] 2018(362) E.L.T 637 (Tri-Del)
[4] Commissioner of Customs Vs Sayed Ali [(2011) 3 SCC 537]
BT Associates is a premier indirect tax consultant in kolkata, delivering high quality services to client in the area of indirect taxation.GST idea is a unit of BT Associates formed to share knowledge on stakeholders. We cover entire gamut from technical papers to recent development including IT under GST
BT Associates is a premier indirect tax consultant in kolkata, delivering high quality services to client in the area of indirect taxation.GST idea is a unit of BT Associates formed to share knowledge on stakeholders. We cover entire gamut from technical papers to recent development including IT under GST
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