2018 (6) TMI 1832 - AT - Customs

Eligibility for benefit of N/N. 21/2002-Cus. Sl. No. 244 (List 26) item No. 13 - Import of Extra High Tension cable exceeding the voltage of 33, 000 volt (about 132k volt current) - Department has solely relied upon the definition as contained in McGraw Hill dictionary - HELD THAT - After going through the definition as contained in McGraw Hill dictionary it appears that the same confined only to Cathode Ray Tube (CRT) which are generally used to manufacture of computer monitor and picture tube of T.V. etc. The imported cable does not belong to that category. Therefore the Ld. Commissioner (Appeals) has rightly set aside the order of the Lower Adjudicating Authority and by extending the benefit under the notification - there are no infirmity in the order of the impugned order so the same is hereby sustained. The appeal filed by the Revenue is dismissed.

Summary

Issues: Interpretation of "Extra High Tension Cable" under Notification No. 21/2002-Cus.

Analysis:
The case involved an appeal by the Revenue against the Order-in-Appeal passed by the Commissioner of Customs (Appeals), Kolkata. The respondent had imported "Extra High Tension cable" exceeding 33,000 volts, meant to carry 132k volt current. The dispute centered around the definition of "Extra High Tension" as per Indian Electricity Act and State Electricity Acts versus the definition in the McGraw Hill dictionary. The department relied on the dictionary definition, which referred to high direct current voltage in a cathode ray tube. The Tribunal noted that the dictionary definition was limited to CRTs used in computer monitors and TVs, not applicable to the imported cable. Consequently, the Ld. Commissioner (Appeals) correctly extended the benefit under the notification to the imported cable, overturning the Lower Adjudicating Authority's decision. The Tribunal found no error in the Commissioner's decision and dismissed the Revenue's appeal, upholding the impugned order.

This judgment primarily delves into the interpretation of "Extra High Tension Cable" under Notification No. 21/2002-Cus. The Tribunal scrutinized the definitions provided under the Indian Electricity Act, State Electricity Acts, and the McGraw Hill dictionary to determine the scope of "Extra High Tension." The discrepancy between the general definition in the dictionary, applicable to cathode ray tubes, and the specific context of the imported cable was crucial in resolving the dispute. By emphasizing the intended use and characteristics of the imported cable, the Tribunal concluded that the dictionary definition did not align with the nature of the product in question, leading to the dismissal of the Revenue's appeal. The case highlights the importance of contextual interpretation and the relevance of specific definitions in legal matters concerning customs and excise duties.

In essence, the judgment underscores the significance of accurate interpretation and application of statutory provisions and notifications in customs matters. By analyzing the legislative intent behind the term "Extra High Tension Cable" and contrasting it with the dictionary definition, the Tribunal elucidated the correct scope of the term within the context of the case. The decision reaffirms the principle that legal interpretations should be context-specific and aligned with the intended purpose of the relevant regulations. Moreover, it exemplifies the Tribunal's role in resolving disputes by reconciling divergent interpretations and upholding the consistent application of customs laws.