Page 31 - ELT_3rd_1st May 2020_Vol 372_Part

DEMAND AND RECOVERY — UNDER
CUSTOMS ACT, 1962
By
Ramesh Chandra Jena, B.A. (Hons.), M.A. (Eco.),
D.M.M., LL.B.
MANAGING PARTNER, TAXPAYERS ADVISORY SOLUTIONS

The provision of demand and recovery of Cus-
toms duty prescribes under Section 28 of the Customs
Act, 1962 and sub-sections of Section 28 deals with the
recovery of duties not levied or not paid or short-levied or
short-paid or erroneously refunded, interest on delayed payment of duty, recov-
ery of duties in certain cases, duties collected from the buyer to be deposited
with the Central Government and provisional attachment of property to protect
revenue in certain cases.
The provisions of demand and recovery under Section 28 of the Customs
Act, 1962 sequentially are explained as follows :
Section 28. Recovery of duties not levied or not paid or short-levied or
short-paid or erroneously refunded. - (1) Where any duty has not been lev-
ied or not paid or has been short-levied or short-paid or erroneously refund-
ed, or any interest payable has not been paid, part-paid or erroneously re-
funded, for any reason other than the reasons of collusion or any wilful mis-
statement or suppression of facts, -
(a) the proper officer shall, within two years from the relevant date, serve
notice on the person chargeable with the duty or interest which has
not been so levied or paid or which has been short-levied or short-
paid or to whom the refund has erroneously been made, requiring
him to show cause why he should not pay the amount specified in the
notice;
Provided that before issuing notice, the proper officer shall hold pre-
notice consultation with the person chargeable with duty or interest in such
manner as may be prescribed;
(b) the person chargeable with the duty or interest, may pay before ser-
vice of notice under clause (a) on the basis of, -
( A892323 )
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