25 May 2009
We are a manufacturer exporter. We have given Letter of undertaking and renewing it yearly from 2003 onwards. During 2007-08 by oversight the LUT expired during June 31st and subsquently it was renewed only in September 10th.
Now the department is asking ( SCN given) us to pay the duty for the exports made during the period between July 1st to September 9th.
My doubt is obtaining LUT is only a procedure and there is no revenue loss to the government. Moreover we have the proof of export with us. If they insist to pay the duty, whether we can apply for refund or recredit based on the submission of proof of export. Please clarify the things at the earliest
25 May 2009
The non renewal of the LUT is merel;y procedural. Please make a letter to the officer with a copy ot the Divisional Comm + one to the CCE stating that the proof of export for that period is provided and request for condonation of the procedural lapse /delay. Send by RPAD.
If you pay the same then refund may take about 5 years to come + lot of attendant problems.