2021 (7) TMI 579 - AT - Customs

Reassessment of bills of entry - reassessment sought on the ground of wrong classification - N95 Respirator Mask (RC016) - classification of the item under CTH 6307 9020 adopted - HELD THAT - There is no dispute as regards classification is concerned and it was based on the wrong classification of the appellant that prompted it to seek re-assessment of the Bills-of-Entry, which request is very much correct. Therefore, the direction of the Adjudicating Authority to get the original order modified by resorting to Section 128 ibid. was uncalled for - However, even the Learned Departmental Representative agreed to the request of the Learned Advocate for the appellant for remanding the issue for re-assessment. It is not as though the appellant did not seek re-assessment even before the Adjudicating Authority; the Authority did not discharge his responsibility, but rather directed the appellant to file an appeal. The matter is remanded to the file of the Adjudicating Authority who shall pass an appropriate speaking order in accordance with law, after affording reasonable opportunities to the appellant - Appeal allowed by way of remand.

Summary

Issues: Classification of imported goods under Customs Notification, Re-assessment of Bills-of-Entry, Appeal against Order-in-Appeal

Classification of imported goods under Customs Notification:
The appellant imported "N95 Respirator Mask (RC016)" and initially classified it under CTH 90200000. Subsequently, it was realized that the correct classification was under CTH 6307.90 at 5% IGST. The appellant sought re-assessment of the Bills-of-Entry for appropriate classification. The Adjudicating Authority directed the appellant to modify the original order under Section 128 of the Customs Act, 1962 for a refund of excess paid IGST. However, the Tribunal found the request for re-assessment to be valid, and the direction for modification was unnecessary. The classification issue was acknowledged, and both parties agreed to remand the matter for re-assessment by the Original Authority.

Re-assessment of Bills-of-Entry:
The appellant appealed against the Order-in-Appeal which rejected their request for re-assessment, stating that the original import assessment documents were not produced. The First Appellate Authority also mentioned the absence of provisions to change the classification of goods cleared under DTA sales from SEZ without challenging the original import assessment. The Tribunal observed that the appellant did seek re-assessment before the Adjudicating Authority, who failed to act accordingly and directed the appellant to file an appeal instead. The Tribunal set aside the Order-in-Appeal and remanded the issue to the Adjudicating Authority for a proper decision after providing reasonable opportunities to the appellant.

Appeal against Order-in-Appeal:
The appeal filed by the assessee was allowed by way of remand. The Tribunal found that the direction for the original order modification was unnecessary, and both parties agreed to re-assessment by the Original Authority. The impugned order was set aside, and the matter was remanded for a fresh decision in accordance with the law, ensuring all contentions are left open for consideration.