2012 (2) TMI 628 - AT - Customs

Summary

Issues:
The judgment involves the interpretation of exemption notifications for "hospital equipment/life saving apparatus" and whether the imported goods are eligible for exemption based on the descriptions provided in the notifications.

Exemption for Litho Tripter:
The department contested the exemption claimed for Litho Tripter, arguing that the exemption is for a complete operating set, whereas the imported goods are only a part. However, the lower appellate authority found that functionally the impugned goods are the same as listed in the notifications. The respondent argued that the goods are imported with all accessories required for ultrasonic kidney stone removal, making them eligible for exemption.

Exemption for Autosharp Microtome and Cryostat:
Regarding Autosharp Microtome and Cryostat, the department sought to deny exemption based on the ground that only "cryostat" is covered under the notification. The respondent contended that "cryostat" is an engineering term and the exemption is intended only for "cryostat tissue embedding systems."

Exemption for Central Monitoring System:
For the Central Monitoring System, the department demanded duty based on the imported item being a "single channel monitor," while the exemption was for "multi-channel monitoring systems." The respondent argued that the imported goods were a "multi-channel cardiac system" with a "Central Monitoring Unit," and they are entitled to the exemption claimed.

Exemption for CO2 Incubator:
Regarding the Automatic water jacketed CO2 incubator, the department demanded duty based on the imported item not being a "intensive care Servo-controlled incubator." The respondent maintained that the incubators are used for intensive care and are automatic, thus eligible for exemption.

Conclusion:
The appellate tribunal upheld the lower appellate authority's decision, dismissing the department's appeal. The respondents are required to pay the applicable duty as per the exemption notifications allowed by the lower appellate authority, with adjustments against the duty liability already paid.