Customs Act, 1962 Section 129dd — Revision by Central Government
Customs Act, 1962 · Revision by Central Government
Plain-English Explanation
Overview
Section 129DD of the Customs Act, 1962 empowers the Central Government to revise orders passed by the Commissioner (Appeals) under Section 128A. This provides a mechanism for further review of appellate orders in certain situations, ensuring legality and propriety in customs assessments.
Who Does This Apply To?
This section affects:
- Aggrieved Persons: Individuals or businesses dissatisfied with an order passed by the Commissioner (Appeals) under Section 128A, particularly orders appealable to the CESTAT (Customs, Excise and Service Tax Appellate Tribunal) had Section 129A been in effect.
- Customs Officers: The Principal Commissioner or Commissioner of Customs can direct a proper officer to file a revision application if they believe an order passed by the Commissioner (Appeals) is not legal or proper.
- Central Government: As the revising authority, they hold the power to annul or modify orders.
How It Works
The process under Section 129DD involves these steps:
- Application by Aggrieved Person (Subsection 1): Any person aggrieved by an order under Section 128A (of a type described in the first proviso to Section 129A(1)) can apply to the Central Government for revision. The Central Government can then annul or modify the order.
- Application by Customs Officer (Subsection 1A): If the Principal Commissioner or Commissioner of Customs believes an order by the Commissioner (Appeals) under Section 128A is illegal or improper, they can direct a proper officer to apply to the Central Government for revision.
- Time Limit for Application (Subsection 2): The application must be made within three months from the date the order was communicated to the applicant. A further extension of three months may be granted if sufficient cause is shown for the delay.
- Form and Fee (Subsection 3): The application must be in the prescribed form, verified as per the rules, and accompanied by a fee:
- ₹200 if the duty, interest, fine, or penalty is ₹1 lakh or less.
- ₹1000 if the duty, interest, fine, or penalty is more than ₹1 lakh.
- No fee is payable if the application is filed by the Department.
- Suo Moto Power (Subsection 4): The Central Government can also annul or modify any order mentioned in subsection (1) on its own motion ( suo moto).
- Show Cause Notice (Subsections 5 & 6):
- No order enhancing any penalty or fine, or confiscating goods of greater value can be passed without giving the affected person a show cause notice within one year from the date of the order sought to be revised, unless the Section 128A order has already enhanced penalty/fine or confiscated goods of greater value.
- If the Central Government believes that customs duty has not been levied or has been short-levied, no order to levy or enhance the duty can be made without a show cause notice given within the time limit specified in Section 28 (demand notice for duty not levied or short levied).
Important Conditions & Exceptions
- Condition 1: The application to the Central Government applies only to orders which, had Section 129A been in effect (i.e. if the CESTAT appeal mechanism was already in place), would have been appealable to the CESTAT.
- Condition 2: The Central Government can refuse to admit an application where the amount of duty, fine, or penalty determined by the order does not exceed ₹5,000.
- Exception: No fee is payable when the application for revision is filed by the Customs Department.
Practical Example
A company, "ABC Importers," receives an order from the Commissioner (Appeals) under Section 128A, demanding a customs duty of ₹1.5 lakhs and a penalty of ₹50,000. ABC Importers disagrees with the order and wants to pursue further legal options. Instead of appealing to CESTAT (hypothetically assuming CESTAT appeals were not yet available for such matters), they can file a revision application with the Central Government under Section 129DD. They must do so within three months of receiving the order, pay a fee of ₹1000, and submit the prescribed form.
Key Amendments
The Finance Act, 1984 inserted the Explanation to subsection (1). No major amendments since then.
No case laws found for this provision yet.
Browse all case laws →Frequently Asked Questions
Under what circumstances can the Central Government revise an order passed under Section 128A of the Customs Act, 1962?
The Central Government can revise orders passed under Section 128A (decisions by Commissioner (Appeals)) on application by an aggrieved person, but only where the order is of the nature referred to in the first proviso to sub-section (1) of section 129A. Additionally, the Principal Commissioner of Customs or Commissioner of Customs can direct a proper officer to apply for revision if they believe the order is not legal or proper, as per Section 129DD(1A).
What is the time limit for filing an application with the Central Government for revision of an order under Section 129DD of the Customs Act?
An application for revision under Section 129DD(1) must be filed within three months from the date the order being challenged was communicated to the applicant. However, the Central Government may extend this period by a further three months if it's satisfied the applicant was prevented by sufficient cause from filing within the initial period, as stated in the proviso to Section 129DD(2).
Is there a minimum amount of duty, fine, or penalty involved for the Central Government to consider a revision application under Section 129DD?
Yes, the Central Government has the discretion to refuse to admit an application for revision under Section 129DD if the amount of duty, fine, or penalty determined by the order under review does not exceed five thousand rupees, as specified in the proviso to Section 129DD(1).
What are the fees associated with filing a revision application under Section 129DD of the Customs Act, 1962?
The fee for filing a revision application under Section 129DD depends on the amount of duty, interest, fine, or penalty involved. If the amount is one lakh rupees or less, the fee is two hundred rupees. If the amount exceeds one lakh rupees, the fee is one thousand rupees, as described in Section 129DD(3).
Can the Central Government independently revise an order without an application from an aggrieved party under Section 129DD?
Yes, Section 129DD(4) explicitly states that the Central Government may, of its own motion, annul or modify any order referred to in sub-section (1). This means they can initiate a revision even without a formal application from an individual or the Commissioner of Customs.
What are the conditions under which the Central Government can enhance a penalty or fine or confiscate goods of greater value under Section 129DD?
The Central Government cannot enhance a penalty or fine or confiscate goods of greater value if an order passed under Section 128A has already done so. In other cases, before doing so, the affected person must be given a notice to show cause within one year from the date of the order sought to be annulled or modified, as per Section 129DD(5).
What is the time limit for issuing a show cause notice if the Central Government believes that customs duty has not been levied or has been short-levied under Section 129DD?
If the Central Government believes that customs duty has not been levied or has been short-levied, no order levying or enhancing the duty can be made unless the affected person is given a notice to show cause within the time limit specified in Section 28, as per Section 129DD(6). Section 28 specifies the time limits for recovery of duty not levied or short levied.
Key Conditions & Requirements
| Condition | Details |
|---|---|
| Aggrieved person's application for revision | Central Government may annul/modify an order passed under Section 128A, if the order falls under the first proviso to Section 129A(1), upon application by an aggrieved person. |
| Monetary threshold for application admission | Central Government has the discretion to refuse to admit an application if the duty/fine/penalty determined by the order does not exceed ₹5,000. |
| Time limit for filing application | Application under sub-section (1) must be made within 3 months from the date of communication of the order being challenged. |
| Extension of time limit | Central Government may allow a further 3 months for application if sufficient cause prevented timely filing. |
| Fee for application | A fee of ₹200 or ₹1,000 is required depending on the amount of duty and interest demanded, fine or penalty levied. No fee if application is filed by officer. |
| Revision by Central Government's motion | The Central Government can, on its own motion, annul or modify any order referred to in sub-section (1). |
| Conditions for enhancing penalty/confiscation | No enhancement of penalty/fine or confiscation of higher value goods is allowed if a similar order has already been passed under section 128A. In other cases, notice to show cause is needed within one year. |
| Show cause notice for duty not levied/short levied | If duty was not levied or short-levied, the affected person needs to receive a notice to show cause within the time limit specified in section 28 before any order levying or enhancing the duty. |
Amendment History
Inserted by the Finance Act, 1984 (21 of 1984), section 43 (w.e.f. 11.05.1984).
Inserted by the Finance Act, 1999 (27 of 1999), section 110(a) (w.e.f. 11.05.1999). ** Ed. Date of commencement of section 40 of the Finance Act, 1984 is 11th May,1984.
Inserted by the Finance Act, 1999 (27 of 1999), section 110(b) (w.e.f. 11.05.1999).
Substituted by the Finance (No.2) Act, 2014 (25 of 2014), section 78, for "Commissioner of Customs" (w.e.f. 06.08.2014).
Substituted by the Finance Act, 1999 (27 of 1999), section 110(c), for sub-section (3)(w.e.f. 11.05.1999).