OFFICE OF THE COMMISSIONER OF CUSTOMS (IMPORT)
JAWAHARLAL NEHRU CUSTOM HOUSE, NHAVA SHEVA.
F.NO. S/26-MISC/31/2009 –CRC-1
Date:
PUBLIC NOTICE
NO. 91 /2009
Subject
: Procedure for refund other than SAD refund– Reg.
The following procedure shall be followed for
the grant of refunds in the cases other that SAD refund
1)
The T.A./S.T.A.
posted in CRC-I shall receive the
applications as per the work allocated to these sections. They shall give a
dated stamp acknowledgement either on the forwarding letter of the refund
application or on the Importer’s copy of the application. At this stage the
receipt should make it clear that the application has not been scrutinized for
its completeness. All these applications received on a particular day shall be
put up to the concerned Asstt./Dy.
Commissioner for their signature either on the same day or on the next working
day. Once these applications signed by the Asstt./Dy. Commissioner, the T.A./S.T.A. shall enter them
in the master register maintained for the purpose and assign them the file
number. The same file number shall be endorsed on the refund applications. Thereafter, the details of the refund claim
shall be entered in a soft version on computer.
2)
Thereafter, the Examining
Officer / Preventive Officer or T.A./S.T.A. shall put
up the file to the Appraising Officer / Supdt. (CRC)
and, if required, a Deficiency Memo shall be prepared and issued. These applications are required to be
scrutinized for their completeness within ten working days of their receipt,
for giving acknowledgement by the proper officer as per the Customs Refund
Application (Form) Regulations, 1995. Hence, if any deficiency is found in the
application or any document is required by the department, the same shall be
informed at this stage of initial scrutiny itself within ten working days of
the initial receipt. This will avoid any
chance for raising repeated queries to the applicant, in a piece-meal manner
and bring certainty in dealing with refund applications.
3)
Processing of Refund: After
completing the above requirements the Examining Officer/Preventive
Officer/Appraising Officer / Supdt. Shall scrutinize
the refund application found to be complete in all respects by Customs, after
scrutiny as above, shall be processed on ‘first-come-first served’ basis so as
to decide whether the whole or any part of the duty and interest paid by the
applicant is refundable, in its totality with reference to Notifications,
Board’s Circulars, Public Notices and other instructions or guidelines on the
subject for their admissibility or
otherwise with specific remarks/analysis in respect of all aspects of the
refund claim viz. the time limit; the merits and the unjust enrichment aspect.
Thereafter, the officer shall put up a detail proposal to Asstt./Dy. Commissioner for their perusal and orders. CRC
shall also verify from the list of arrears of confirmed demand pending against
the applicant so that the same can be recovered or adjusted if the refund
amount is found admissible for sanction.
4)
The Asstt./Dy. Commissioner shall decide the refund claim on
merit either by granting the refund or in case, there are infirmities, by
rejecting/reducing the claim. The rejection shall not be without giving a
Personal Hearing. In either case a speaking order-in-original shall be issued
after obtaining a running O-in-O no. from Appraising Main (Import). If the
refund amount sanctioned is less than Rs. 50000/-, no O-in-O is required to be
issued. However in case of rejection/reduction
of claimed amount, order-in-original shall be issued in all cases. The speaking
order granting refund of the full or a part of the amount claimed or rejected, should include findings in respect of all three
aspects namely the time limit, merit and unjust enrichment of the refund
claim. Even if a claim is liable for
rejection on one of the grounds, findings in respect of other two grounds
should also be elaborated, to avoid repetitive work at various levels. Before
issuing the O-I-O the file shall be forwarded to IAD for Pre-audit, if the
amount sanctioned is Rs. 5 lakh or more. After Pre-audit, the file shall be forwarded
back to CRC-I. The Non-payment
Certificate from accounts department is not required before passing the
Order-in-original sanctioning the refund.
One copy of the Order-in-Original shall be marked to CAO/Cash Deptt., JNCH. The details of orders issued shall be entered
in the register maintained for this purpose in CRC section.
5)
Once the refund is sanctioned by the Astt./Dy. Commissioner and after
issuing the order-in-original, the T.A./S.T.A. shall prepare R.O.(Refund Order)
in the prescribed format and submit it
to the A.O. / Supdt. for
signature. Thereafter, the R.O.s shall be handed over to the applicant or his
authorized person or be dispatched by the Speed Post.
6)
Thereafter AC will mention this
fact of refund having been so sanctioned against the particular Bs/E on EDI
system, in the “Departmental Comments” column available in the EDI system. For
this purpose out of charge is required to be cancelled by System Manager for
these B/Es . Once out of charge is cancelled, Bs/E are to be recalled by the AC and in the “Departmental
Comments” column entries are to be made. In this entry the Refund File No.,
Refund amount, OIO No. has to be compulsorily mentioned. Thereafter Docks AO
will have to give Dummy Out of charge to the B/Es. For this purpose Docks A.O.
will be deputed to the Refund Section by the ADC/JC(Docks)
and the officer so deputed would visit CRC Section for an hour every day in the
fore
7)
The processing of refund
claims, which are found complete in initial scrutiny, will be completed in all
respect in CRC within a period of one month.
8) Upon issuance of refund order, the file would be forwarded to Accounts
Branch for issuance of cheque. In accounts branch,
the relevant details would be entered in the Cheque
issuance register. Once details are duly entered, CAO would make an endorsement
in the said register and issue Cheque Number.
Thereafter, ACAO/DOS would verify the arithmetical correctness of refund
amount. However, Account section is not required to check the documents like B/E,
or any other document which have already been checked by the CRC section.
Thereupon, NPC(No Payment Certificate) clerk /TA would
check and make necessary endorsement in the challan
and the duty payment scroll regarding non-payment of refund earlier. After this,
refund cheque and envelope would be prepared by the
concerned TA/STA. The cheque would be signed by the
CAO and issued the same day. The whole process in the accounts branch would be
completed within three working days. The cheque
issuance register would be produced on weekly basis to Additional Commissioner
in charge of refund section for verification, who
would make appropriate endorsement in this regard. After issue of cheque,
file will be sent back to the CRC section and CRC section shall complete the
Post Audit formalities.
9) The
procedure as mentioned in para 8 shall also apply
mutatis mutandis in SAD Refund case.
(A.K.Das)
COMMISSIONER OF CUSTOMS (IMPORT)
NHAVA SHEVA.