ALO Law Office- IDT Tax I Arbitration I Litigation
Date: 05.08.2025
CESTAT Mumbai Sets Aside Time-Barred Duty Demand โ โโ โ
In a significant ruling, the Customs, Excise & Service Tax Appellate Tribunal (CESTAT), Mumbai, has set aside a duty demand of Rs. 16,54,073/- along with interest imposed on JSW Steel Ltd by the Commissioner of Customs, Panaji, Goa. โ The case revolved around the legality of a corrigendum issued years after the original Show Cause Notice (SCN), raising questions about the limitation period under Section 28 of the Customs Act. โ This decision underscores the importance of adhering to statutory timelines and procedural accuracy in customs adjudication. โ
Background of the Case
JSW Steel Ltd had exported Hot Rolled Non-Alloy Steel Coils and Cold Rolled Close Annealed Non-Alloy Wide Coils between April 10, 2008, and May 9, 2008. โ A notification issued on May 10, 2008, amended the duty rates for these goods to 15% and 10%, respectively, which were previously exempt from duty. โ While most shipping bills were cleared before the notification date, five shipping bills were cleared on May 10, 2008, leading to a demand for additional duty. โ
The original SCN was issued on October 3, 2008, but lacked reference to the specific provision of the Customs Act under which the demand was raised. A corrigendum was issued on April 11, 2013, invoking Section 28 of the Customs Act and substantially altering the content of the original notice, including changes to the description and quantity of goods.
This Article has been written by Shri Ravi Shekhar Jha, Advocate Delhi High Court based on his interpretation of the law. He can be reached at his email id intelconsul@gmail.com or on his Mobile +91-9999005379.
Source: CESTAT Mumbai
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