No Interest Payable on Refunds Issued within 3 Months as per Section 18(4) of Customs Act : CESTAT

The Customs, Excise & Service Tax Appellate Tribunal (CESTAT) ruled that no interest is payable on refunds issued within three months as per Section 18(4) of the Customs Act. This decision was made in the case of a taxpayer who claimed interest on a refund issued within the stipulated period. The tribunal clarified that the law does not mandate interest payment if the refund is processed within three months from the date of application. This ruling provides clarity on the interpretation of refund provisions under the Customs Act and ensures that taxpayers are aware of their rights and obligations.