Customs Act, 1962 — Chapter V: Levy of, and Exemption from, Customs Duties
28AA. Interest on delayed payment of duty
- Notwithstanding any judgment, decree, order or direction of any court, Appellate Tribunal or authority, a person liable to pay duty under section 28 shall, in addition, be liable to pay interest at the rate fixed under sub-section (2), whether paid voluntarily or after determination.
- Interest at a rate not below 10% and not exceeding 36% per annum, as the Central Government may notify, is calculated from the first day of the month following the month duty ought to have been paid (or from the date of erroneous refund) up to the date of payment.
- No interest is payable where duty becomes payable following a Board order/instruction/direction under section 151A and is voluntarily paid in full within forty-five days of its issue without reserving a right of appeal.
