1996 (9) TMI 433 - AT - Customs

Summary

Issues:
- Appeal against lower appellate authority's order granting concessional assessment under Notification No. 160/92.
- Interpretation of EPCG license validity for importation of goods.
- Applicability of exemption notification issued subsequent to importation.
- Eligibility for benefits of concessional assessment at the rate applicable on the date of importation.

Analysis:
The appeal before the Appellate Tribunal CEGAT, Madras involved a dispute regarding the concessional assessment granted by the lower appellate authority under Notification No. 160/92. The Revenue contended that the goods were originally imported under Notification No. 157/90 for exhibition purposes, and since the goods were not re-exported, the duty applicable for import should have been paid. However, the Tribunal noted a proviso in the notification exempting payment of customs duty if the goods were sold in exhibitions or fairs in India with prior approval. The respondents were issued an EPCG license valid for clearances of the imported goods, and the Tribunal held that the benefit of Notification 160/92, applicable at the time of importation, should be granted to the respondents.

The Tribunal considered the argument raised by the Revenue regarding the applicability of exemption notifications issued subsequent to importation, citing precedents where such benefits were denied post-importation. However, in this case, the Tribunal found that the EPCG license endorsed for the validity of importation of the goods covered the importation in 1994, making the respondents eligible for the concessional assessment rate applicable at the time of importation under Notification 160/92. The Tribunal distinguished the cited precedents as not applicable to the current facts, leading to the dismissal of the Revenue's appeal.

In conclusion, the Tribunal upheld the lower authority's decision, affirming the interpretation of the EPCG license's scope and the applicable assessment rate for the imported goods. The Tribunal found no merit in the Revenue's argument, emphasizing that the benefit of concessional assessment under Notification 160/92 was rightly granted based on the date of importation. The appeal was dismissed, and the respondents were deemed eligible for the benefits as per the relevant notification at the time of importation.