Categories: Other Courts

LIMITATION PERIOD IS NOT APPLICABLE ON PERSONAL LEDGER ACCOUNT: CUSTOMS EXCISE AND SERVICE TAX APPELLATE TRIBUNAL

FacebookFacebookTwitterTwitterEmailEmailWhatsAppWhatsAppLinkedInLinkedInShareShare

The Customs, Excise and Service Tax Appellate Tribunal (CESTAT), the Ahmedabad Bench in the case Sun Pharmaceutical Industries Ltd Vs C.C.E. & S.T observed and stated that the limitation period is not applicable on personal ledger accounts (PLA).

The bench comprising of Justice Ramesh Nair (Judicial Member) has observed that in the case of personal ledger accounts (PLA) balance that it is not deposited as a duty but it is deposited as an advance towards the duty. It is observed that the PLA amount takes the colour of excise duty only when it is utilised for payment of duty on clearance of excisable goods The unspent balance of the PLA is only an advance and is not a duty. Moreover, Section 11B is not applicable.

The issue raised by the applicant was weather the applicant is entitled to a refund of the unspent balance of personal ledger accounts (PLA), with effect from 01.07.2017, due to change in the regime of taxation from central excise to GST. The Another issue raised by the appellant was weather the limitation as provided under section 11 B of the Central Excise Act, 1944 is applicable in the case of a refund of unspent PLA Balance.

It was observed that the Commissioner (Appeals) rejected the refund claim on the ground that the limitation under Section 11B is applicable according to which the claimant should have filed the refund from the date of payment, within one year.

Further, it was observed by the CESTAT that the appellant is entitled to the refund of PLA balance and the limitation provided under Section 11B is not applicable.

DGM Mahesh Tailor, the Counsel appearing for the Appellant.

FacebookFacebookTwitterTwitterEmailEmailWhatsAppWhatsAppLinkedInLinkedInShareShare
- -

Recent Posts

Gulmarg Fashion Show: Srinagar Court To Hear Case Against Organizers On April 8

A Srinagar court has scheduled a hearing for April 8, 2025, in connection with the…

14 hours ago

Gold Smuggling Case: Kannada Actress Ranya Rao Moves Sessions Court For Bail

Kannada actress Ranya Rao, arrested last week in connection with a gold smuggling case, has…

14 hours ago

“Advocates Can appear In Confiscation Proceedings Under Forest Act”: MP High Court

The Madhya Pradesh High Court ruled that advocates can represent clients in confiscation cases under…

16 hours ago

Cement Prices Are Likely To Increase Because Of New Mineral Tax By States: Report

Cement prices across various states are expected to increase following a Supreme Court ruling that…

19 hours ago

“Plaint Against Teacher By Parent, Student: First Enquiry, Then Arrest”: Kerala HC

The Kerala High Court has laid down new guidelines to protect educators from hasty arrests…

22 hours ago

SC Ruling Paves Way For Visually Impaired Judges; Yavnika Shares Her Experience

Supreme Court recently opened up the doors for visually impaired candidates in judiciary by striking…

3 days ago