M/S. PRECOT MERIDIAN LIMITED VERSUS THE COMMISSIONER OF CUSTOMS, THE ASSISTANT COMMISSIONER OF CUSTOMS

Facts of the Case:

The petitioner exported cotton in September 2017 with seven shipping bills and paid Rs. 4,80,355/- towards IGST . The petitioner wrongly availed higher duty drawback to the tune of Rs. 75,454/- on 02.03.2018. Thereafter, he rectified his mistake by repaying the higher drawback claimed along with the interest and sought the refund of IGST paid by him.

The Hon’ble Madras High Court heard the submissions and stated that ” It is not in dispute that the petitioner exported cotton through seven shipping bills. It is also not in dispute that the statute provides refund for export of goods.” The petitioner also complied with all the requirements of Rule 96 of CGST Rules 2019.

Accordingly,the petitioner is entitled for refund and it cannot be ignored by citing the circular.

As the circular cannot prevail over the statute the court directed the petitioner has to get the refund within six weeks from the date of receipt.

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