Skip to content

CMA Final · Indirect Tax Laws and Practice · Refund

Meridian Imports cleared machinery for home consumption on 1 March. Finding it defective, the importer exported it back, and the proper officer permitted clearance and loading for export under section 51 on 20 March. Under section 26A, the refund application must be made before the expiry of six months from:

The six-month period runs from 20 March, because for exported goods the relevant date is the date the proper officer orders clearance and loading for export under section 51, not the original home-clearance date.

  1. A1 March, the date of the order for home clearance
  2. B20 March, the date the proper officer permitted clearance and loading for exportCorrect
  3. CThe date the goods reach the foreign supplier
  4. DThe date of the purchase contract

Explanation

For goods exported out of India, the relevant date under section 26A is the date the proper officer makes an order permitting clearance and loading under section 51. Six months therefore run from 20 March. Option A confuses this with the 30-day window for re-export, which runs from the home clearance order.

Did you get it right without looking?

One question tells you little. A timed set on Refund shows your real accuracy, how long you take and where you lose marks.

Practise RefundFree diagnostic mock

More Refund questions