Indirect Tax Alert - July 2016

The Central Government has granted relief to assesses plagued by the recovery methods adopted by the tax authorities vide CBEC Circular No. 1035/23/2016-CX dated July 4, 2016

The Central Board of Excise and Customs ('CBEC') vide Circular No. 1035/23/2016-CX dated July 4, 2016 reviewed its earlier Circular No. 967/1/2013-CX dated January 1, 2013 on the issue of recovery of confirmed demands during the pendency of stay application filed by the assessee. It has been typical of the tax authorities, upon confirmation of demand from the higher authorities to immediately commence recovery procedure against assessees without allowing the full benefit of statutory period prescribed for filing of appeals (along with stay applications).