Unveiling The Right To Challenge Assessments: Is Consent The End?

Recent judgment of the Delhi High Court in Niraj Silk Mills & Others - 2024 (11) TMI 1361 has (re)triggered the debate over the significance of 'consent' given at the time of assessment of bill of entry or shipping bill, be it regarding rate of duty / valuation / classification. This article focuses on the critical aspect of whether an assessee can challenge an assessment even after giving consent / acceptance in writing. The authors feel that navigating this legal labyrinth is no walk in the park, given the complexities and conflicting judgments prevailing.

To set the background, the CESTAT, New Delhi and other Benches have been taking a consistent view that the importer / assessee could not question the enhancement of the value by the customs department in the appeal once it had waived its right to a speaking order under Section 17(5) of the Customs Act, 1962 and accepted the enhancement in writing.