2017 (8) TMI 1205 - AT - Customs

Concessional rate of duty - N/N. 12/2012-CUS - classification of imported goods - pure platinum wire, semi-finished platinum wire, platinum rhodium (10%) wire and platinum/rhodium (13%) wire - classified under CTH 71101900 or otherwise? - Held that - Admittedly, the product mentioned in the notification as well as the product as imported by the appellant/assessee are to be classified as Platinum under Heading 71101900. The Platinum/Rhodium wire imported by the appellant/assessee has been classified as Platinum (wires) under the Tariff Heading 71101900 and, as such, the exemption claimed by the appellant/assessee is rightly available. Exemption from Additional Duty of Customs - rejection on the ground that the exemption benefit is available only to Platinum in primary form and will not be available to Platinum alloys - Held that - the Appellate Authority erred in examining the description of the goods mentioned in column 3 of the entry in the notification. First of all, the description clearly states that Platinum, Palladium, Rhodium etc. in their primary form, that is to say, any unfinished or semi-finished form including, ingots, foils and wires it is very clear that Platinum/ Rhodium wires are eligible for such concession. The notification borrows the language of Heading 71.10 itself and, as such, we find no reason for denial of the exemption. Exemption from Special Additional Duty - Held that - Exemption from Special Additional Duty is claimed in terms of Sl. No.77 of Notification 21/2012-CUS. The said entry is granting exemption for goods falling under Chapter 71 (Except 7113) with a description all goods (other than articles of jewellery) . Admittedly, the product imported are falling under Chapter 71 and not covered by any exclusion made in the said entry. Accordingly, we find that the exemption claimed by the appellant/assessee is available to them. Appeal allowed - decided in favor of assessee.

Summary

Issues:
1. Denial of concessional duty under Central Excise Tariff Heading 71101900.
2. Disallowance of benefits under Central Excise notification.
3. Appeal against denial of exemption under Central Excise notification.
4. Appeal against extension of benefit under customs notification.

Analysis:

1. Denial of Concessional Duty under Central Excise Tariff Heading 71101900:
The appellant filed a bill of entry for importing various platinum wires under CETH 71101900, claiming benefits under different notifications. The impugned order allowed concession for Basic Customs Duty but rejected the claim for exemption under Central Excise notification. The Tribunal noted that the imported items were appropriately classified under Heading 71101900, which covers platinum products. The appellant's claim for exemption under Notification 12/2012-CUS was upheld as the imported Platinum/Rhodium wire was correctly classified as Platinum under the tariff heading, making the exemption rightfully available.

2. Disallowance of Benefits under Central Excise Notification:
Regarding the exemption for Additional Duty of Customs, the Tribunal found that the description in the notification included Platinum alloys in their primary forms, making Platinum/Rhodium wires eligible for the concession. The Appellate Authority's error in interpreting the description led to the rejection of the claim, which was rectified by the Tribunal. The presence of Rhodium in the imported wire did not alter its classification as anything other than Platinum, making the exemption applicable.

3. Appeal Against Denial of Exemption under Central Excise Notification:
The Tribunal observed that the impugned order did not provide any findings regarding the exemption claimed for Special Additional Duty. The exemption claimed under Notification 21/2012-CUS for goods falling under Chapter 71 was found valid as the imported items were not excluded from the entry. The Tribunal noted that the appellant had been importing these items for five years with no previous objections from the Revenue, supporting the validity of the exemption claim.

4. Appeal Against Extension of Benefit under Customs Notification:
In conclusion, the Tribunal found merit in the appeal filed by the appellant, allowing the same and dismissing the appeal filed by the Revenue. The impugned order was modified accordingly, with the Tribunal ruling in favor of the appellant/assessee based on the detailed analysis and discussions presented in the judgment.