- Vide decision of High Court of Madras in Ruchi Soya Industries Limited vs. Union of india
Facts of the case:
- Assessee company entered into a contract with its foreign supplier in Malaysia for purchase of edible palm oil.
- A dispute arose with regard to payment of customs duty for clearance of subject goods , which respondent claimed on strength of Notification No. 29/2018-cus, dated 1-3-2018- Assessee thus filed instant petition seeking a declaration that Notification dated 1-3-2018, was arbitrary, illegal, ultra vires and infringing fundamental rights of assessee to trade.
- Assessee contended that said notification was updated on 2-3-2018 and came to be published in official gazette on 6-3-2018.
- According to assessee, custom duty had already been paid on 5-3-2018 and, thus, enhanced amount sought to be realised from assessee was unlawful
- It was noted that Notification would come into effect from date and time when it was electronically printed in gazette and mere uploading same on website would have no significance- Said reasoning did not suffer from any infirmity nor any material was brought on record to take a different view of matter.
The Honorable High Court of Madras held the case as follows: instant petition was to be allowed with a direction to respondents to refund entire excess amount paid by assessee as enhanced duty under protest.