Settle Rebate Claims within 30 days - CBEC
BOARD has received representations from Trade bodies that field formations are not promptly sanctioning the rebate claims due to them. A suggestion has been made that the time limit prescribed in Section 11BB of the Central Excise Act, 1944 may be reduced from 3 months to 30 days.
Board has examined the matter and notes that while the 90 days prescribed under Section 11BB of the Central Excise Act, 1944 is the outer limit after which interest becomes payable, there is nothing to prohibit processing and disposal of claims much earlier.
Board informs the Chief Commissioners that all efforts should be made to ensure that the claims of rebate are disposed of within 30 days from the date of receipt of the claim complete in all respect, except those requiring pre-audit. Further, claims requiring pre-audit may also be processed expeditiously.
Board wants the Chief Commissioners to put in place a monitoring mechanism to carry out these instructions.
In some Commissionerates, the ‘REBATE' seats are so sensitive that only favourites are posted to such seats. It is so blatant that in transfer orders, they particularly mention ‘non rebate', so that the person posted there does not poke his nose into the sensitive rebate arena. In such sensitive rebate seats, rebate is never delayed beyond a few days. Usually, the "rebate claims" are lapped up in gluttony and officers even bid for claims that are in the pipeline. Delay occurs, if and only if, there is a dispute in the percentages, which are arrived on the basis of a formula envied even by Duckworth & Lewis!
CBEC F. No. No. 267/39/13-CX.8, Dated: October 01, 2013