2017 (2) TMI 966 - AT - Customs

Benefit of N/N. 21/2002-Cus - denial on the ground that the said cryogenic rubber granules do not fall under Tariff Heading 4004 or CTH 95 - Held that - the lower authorities have had no opportunity to consider the benefit of N/N. 146/94-Cus., as the said notification specifically talks about exemption to sports goods, sports equipment and sports requisites imported into India by a National Sports Federation and by a sports person of outstanding eminence for training purposes - appeal allowed by way of remand.

Summary

Issues:
Classification of imported goods under Tariff Item No. 95069990 of the Customs Tariff Act, 1975 for laying football ground; Benefit of Notification No. 21/2002-Cus for "Cryogenic Rubber fieldturf Granules"; Applicability of Notification 146/94-Cus for sports requisites; Consideration of CBEC Circulars No. 21/2012-Cus and 70/2002-Cus.

Analysis:
The appeal involved a dispute regarding the classification of imported goods, specifically "Artificial Grass Turf" and "Cryogenic Rubber fieldturf Granules." The appellant claimed that the goods should be classified under Tariff Item No. 95069990 as they are essential for laying a football ground and have properties similar to natural turf. Additionally, the appellant sought the benefit of Notification No. 21/2002-Cus for the Cryogenic Rubber Granules, which provide shock absorbency and protect the artificial grass fibers. The appellant argued that the goods should be considered as sports requisites and thus be eligible for exemption under Notification 146/94-Cus.

Upon review of the submissions, the tribunal noted that the lower authorities had not adequately considered the benefit of Notification 146/94-Cus, which specifically pertains to exemption for sports goods and sports requisites imported by recognized sports entities. The appellant had provided a certificate from the All India Football Federation, indicating the goods' relevance to sports activities. The tribunal highlighted the oversight of relevant CBEC Circulars, emphasizing the need for a comprehensive review based on the principles of natural justice.

In light of the above, the tribunal set aside the impugned order and remanded the matter to the adjudicating authority for a fresh assessment. The appellant was instructed to provide all necessary supporting documents for their claim. The tribunal refrained from expressing any opinion on the merits of the case, keeping all issues open for further consideration based on a more thorough evaluation of the relevant notifications and circulars. The appeal was thus disposed of through remand, allowing for a more comprehensive review of the classification and benefit claims in accordance with legal principles.