CUSTOMS, EXCISE & SERVICE TAX APPELLATE TRIBUNAL ALLAHABAD REGIONAL BENCH - COURT NO.I (Arising out of Order-in-Appeal No.MRT-EXCUS-000-APPL-MRT-266-2024-25, dated-18.02.2025 passed by Commissioner (Appeals), CGST & Central Excise, Noida)

M/S T T LIMITED …..Appellant (109-110 Km Stone, NH No. 24, Delhi Moradabad, Amroha, Uttar Pradesh 244235)

VERSUS Commissioner, Central Goods & Service Tax, Meerut ….Respondent (Mangal Pandey Nagar, Opp. Ch. Charan Singh University, Meerut-250 005)

APPEARANCE Shri Nishant Mishra, Advocate &

Shri Bimal Jain, Advocate for the Appellant Shri A. K. Choudhary, Authorized Representative for the Respondent CORAM: HON’BLE MR. P.K. CHOUDHARY, MEMBER (JUDICIAL)

FINAL ORDER NO.-70045/2026 DATE OF HEARING : 10.11.2025 DATE OF DECISION : 20.02.2026 P. K. CHOUDHARY:

Appeal No. 70574/2025 arises from Order-in-Appeal No.

MRT/EXCUS/000/APPL-MRT/266/2024-25 dated 18.02.2025, whereby the Appellate Authority has upheld the Order-in- Original No. 05/Refund/DC/Bij/24-25 dated 10.10.2024 passed by the Adjudicating Authority.

2. Brief facts of the case are such that the Appellant was holding status of 100% EOU (Export Oriented Unit), registered under No. AAACT0767AXM002 and was engaged in the manufacturing of cotton yarn falling under Chapter 52 of the Central Excise Tariff Act, 1985. The Superintendent of Customs & Central Excise, Range-1, Gajraula (“Superintendent- Gajraula”), issued a letter C. No. 13-Mize/R-I- Gaj/GSM/2000.2001/426 dated 01.12.2000 demanding payment of Additional Duty of Excise (“AED (T&T)”) on yarn cleared to the Domestic Tariff Area (“DTA”) w.e.f. 01.03.2000, as per Section 3(1) of the Central Excise Act, 1944 (“Central Excise Act”) and Notification No. 08/97 dated 01.03.1997, as amended by Notification No. 11/2000 dated 01.03.2000. The Appellant replied via letter dated 16.06.2001 stating that duty is not payable, hence, such payment was not required to be made in terms of Notification No. 55/91 dated 25.07.1991 and as was decided vide the Adjudication Order OIO No. 49/2001 dated

23.04.2001.

3. However, the Superintendent-Gajraula served another letter bearing C. No. I-CL-PL/R-I GAJ/2000-2001/695 dated 12.10.2001 stating that the Appellant is liable to pay duty along with interest @24% as per Circular No. 554/50/2000-CX dated 19.10.2000. The Appellant reiterated that the duty on DTA sale is exempt under Notification No. 55/91 dated 25.07.1991. It is the case of Appellant that on account of directions of the Superintendent-Gajraula, the Appellant paid the duty amounting to Rs 22,30,445/- through Form TR-6 (32 challans) dated 30.12.2000 to 29.03.2003 under-protest on 22.10.2001 and explicitly communicated through a letter dated 22.08.2001 that the duty was not payable in light of Notification No. 55/91-CE dated 25.07.1991.

4. The Appellant thereafter filed refund claim of the said payment of Rs 22,30,445/- made under-protest on 27.06.2022, as the Appellant’s unit was debonded for conversion into the EPCG (Export Promotion Capital Goods) Scheme on 15.11.2007, because of which Appellant could not file refund claim of the said paid duty within the stipulated time due to major shuffling of exclusively commercial staff from Gajraula unit on account of closure of unit, as the old records were also shifted from Gajraula unit and therefore the Appellant had to reconstitute the file containing the relevant documents.

5. The refund claim was sent to the Superintendent-Gajraula for verification vide letter dated 29.06.2022, which was denied by the Superintendent-Gajraula vide letter C. No. 20- CGST/Misc/T T L/RFD/GJL/09/2021/146 dated 17.08.2022. The Assistant Commissioner of CGST, Division-Bijnor (“Adjudicating Authority”), issued the Show Cause Notice, SCN bearing C. No. V(30)Div-Bij/TT Limited/refund/126/2022/752 dated 07.09.2022, calling upon the Appellant to submit explanation as to why the refund claim should not be rejected. The Appellant reiterated its stance that the duty was not applicable on cotton yarn s