2019 (11) TMI 1437 - AT - Customs

Valuation of imported goods - fabrics - enhancement of value - HELD THAT - An earlier appeal of the Revenue filed against one of the same respondent stand disposed of by the Tribunal in COMMISSIONER OF CUSTOMS, NOIDA CUSTOMS COMMISSIONERATE VERSUS M/S VSM IMPEX PVT. LTD. 2018 (5) TMI 2014 - CESTAT ALLAHABAD . By referring to the Hon ble Supreme Court decision in the case of EICHER TRACTORS LTD. VERSUS COMMISSIONER OF CUSTOMS, MUMBAI 2000 (11) TMI 139 - SUPREME COURT , it was held that as the transaction value was not rejected by the Revenue, the enhancement of the value, in the absence of any other evidences was not justified. Appeal dismissed - decided against Revenue.

Summary

Issues: Stay application by Revenue against order setting aside enhancement of imported fabrics value.

Analysis:

1. Stay Application by Revenue: The Appellate Tribunal CESTAT ALLAHABAD considered the miscellaneous applications filed by the Revenue seeking a stay on the order passed by the Commissioner (Appeals) that set aside the enhancement of the value of imported fabrics by the lower authorities. The Revenue had also filed appeals against the Commissioner (Appeals) orders, expressing their dissatisfaction with the decisions.

2. Previous Tribunal Decision: The Tribunal referred to a previous appeal by the Revenue against the same respondent, which was disposed of in Commissioner of Customs, Noida Customs Commissionerate Vs. M/s VSM Impex Pvt. Ltd. The Tribunal cited the Supreme Court decision in the case of Eicher Tractors Limited, emphasizing that if the transaction value was not rejected by the Revenue, then enhancing the value without additional evidence was not justified.

3. Latest Supreme Court Decision: The Tribunal also highlighted the recent Supreme Court decision in Commissioner of Central Excise and Service Tax, Noida Vs. Sanjivani Non Ferrous Trading Pvt. Ltd. In this case, the Tribunal's decision was upheld, rejecting the Revenue's appeal. The Supreme Court ruled that enhancing the value based on NIDB data was impermissible without first rejecting the transaction value.

4. Decision: After considering the precedents and legal principles, the Tribunal found no merit in the Revenue's appeals. Consequently, both the stay petitions and the appeals filed by the Revenue were rejected. The Tribunal concluded the judgment by stating that the issue had been decisively settled, leading to the dismissal of the Revenue's applications and appeals.

This comprehensive analysis of the legal judgment provides a detailed overview of the issues involved, the relevant legal precedents cited, and the final decision reached by the Appellate Tribunal CESTAT ALLAHABAD in the matter of the stay application and appeals related to the enhancement of imported fabrics value.