Premature Demand and the discipline of final assessment

This note examines the decision of the Customs, Excise & Service Tax Appellate Tribunal, Chennai in M/s. Ankit Impex & M/s. S.B.B. International v. Principal Commissioner of Customs, Final Order Nos. 40179–40180/2026 dated 04.02.2026. The ruling reiterates a foundational principle of customs jurisprudence: a demand for short levy presupposes a completed assessment. Where assessment is provisional and not finalized under Section 18, the machinery provision under Section 28 cannot be prematurely invoked. The Tribunal’s order has broader ramifications for investigative proceedings, valuation disputes, and procedural fairness in customs administration.