Dear sir as per section 26A, if the goods are destoyed within 30 days from the date of order for home clearance, refund shall be granted. If the goods are destroyed in a factory of importer within 30 days of clearance will it qualify for refund?
SKumar
(Manager)
(385 Points)
Replied 12 September 2018
@ Raghavan
Please elaborate on the following points:
a) are the goods in question perishable / exceeded shelf life/ recommended storage period before use?
b) was destruction carried out in the presence of Proper officer?
c) were the goods found to be defective or otherwise not in conformity with the specifications agreed upon between the importer and the supplier of goods? And have the goods have not been worked, repaired or used after importation ?
d) has importer claimed drawback on these goods?
SKumar
(Manager)
(385 Points)
Replied 12 September 2018
@ Raghavan
Four conditions specified as per Sec 26 A, (a) (b), (c) and (d) need to be satisifed simulatneously.
Since you have not replied to my Qns c & d, I cannot determine if refund can be claimed.
Re: Proper officer
Please elaborate on location of factory & location of port/icd/cfs where Bill of entry for Home Consumption was filed.
SKumar
(Manager)
(385 Points)
Replied 12 September 2018
Since goods were neither defective nor was there any mismatch to specification in importer's order to supplier, then the condition under Sec 26A (a) is not satisfied and Refund of Duty cannot be claimed.
SKumar
(Manager)
(385 Points)
Replied 12 September 2018
@ Raghavan
Please note the word "and" used after subsection (c). That would imply all listed conditions apply.
LIVE Course on Foreign Exchange Management Act (FEMA)(with recording)
LIVE Course on Foreign Exchange Management Act (FEMA)(without recording)
CAclubindia
