The Customs, Excise and Service Tax Appellate Tribunal (CESTAT), Mumbai set aside re assessment of imported goods thereby granting relief to Bharti Airtel.
M/s Bharti Airtel Ltd (Appellant) filed 51 Bills of Entry for the clearance of the antenna for base station claiming classification under CTH 85177090. These Bills of Entry were reassessed without any speaking order as per Section 17(5) of the Custom Act, 1962 and the classification as claimed by the respondents was modified to 85176290.
The Appellants got the goods cleared by paying the duty as assessed under protest and requested the assessing officer to issue Speaking Order as per Section 17(5). Speaking orders were issued under Section 17(5) of the Custom Act, 1962, reassessing the imported goods as stated above the assessment made on the Bills of Entry by the proper officer were challenged by the appellant before the Commissioner (Appeals) who by the impugned order, rejected the appeal and denied the classification as claimed by the importers while filing the Bill of Entries.
A Division Bench consisting of Sanjiv Srivastava, Technical Member and Ajay Sharma, Judicial Member observed that “In the present case, ‘Antenna’ being a part of the BTS, hence applying the said Rule, classifiable under Chapter Heading 8517. Revenue’s interpretation of the saidclause (a) in the present case is that in the event if the goods are not falling under any of the sub-heading of Heading 8517, then only it will be classifiable as ‘parts’, is incorrect.”
“We also find that the appellants have submitted US Customs Rulings on the classification of the impugned goods, though they are not binding on us, they would certainly have a persuasive effect more so in the absence of any evidence to the contrary. In view of the discussion as above, and considering the fact that Commissioner (Appeals) has been consistent in rejecting the department’s claim, we are of the considered opinion that there is no merit in the appeals filed by the Department” the Tribunal added.
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