2021 (6) TMI 859 - AT - Customs

Re-assessment/amendment of its Bills-of-Entry - Section 149 of the Customs Act 1962 - correct classification of Laptops - HELD THAT - Any amendment/re-assessment has to be in terms of Section 149 of the Customs Act 1962 and by the Proper Officer. Hence it serves no purpose if the case is remanded to the Commissioner (Appeals) since it is the Proper Officer who could call for any documents and then exercise his discretion to order amendment or reject subject to the provisions of Section 149 ibid. Therefore the matter is remanded to the file of the Adjudicating Authority/Proper Officer to verify the claim of the appellant strictly in terms of Section 149 ibid. and thereafter pass an appropriate speaking order after giving reasonable opportunities to the appellant. All the contentions are left open.

Summary

Issues: Whether the appellant can seek re-assessment/amendment of its Bills-of-Entry under Section 149 of the Customs Act, 1962?

Analysis:
The appellant had imported Laptop computers/Notebooks from a Chinese manufacturer, which were incorrectly described as "Cartons" in the Bill-of-Entry, leading to the payment of a higher Basic Customs Duty (BCD). The appellant requested re-assessment of the Bills-of-Entry based on correct invoices, but the Commissioner of Customs rejected the claim citing delay and the inability to seek amendment under Section 149 of the Customs Act due to the lapse of time.

The appellant argued that the order of self-assessment is appealable by any aggrieved party, as per the decision of the Hon'ble Supreme Court in a previous case. Additionally, the High Court of Madras held that the proviso to Section 149 allows an opportunity for the appellant to produce necessary documents to establish any errors in the Bill-of-Entry, which should be verified by the Adjudicating Authority.

Regarding the time-barred appeal, it was noted that the limitation period was extended due to the Covid-19 pandemic, and the appellant filed the appeal within the extended timeline. Consequently, the rejection of the appeal as time-barred was deemed unjustified.

The Tribunal set aside the findings and the impugned order, emphasizing that any amendment or re-assessment must comply with Section 149 of the Customs Act and be decided by the Proper Officer. The matter was remanded to the Adjudicating Authority/Proper Officer to verify the appellant's claim under Section 149 and issue a speaking order after providing reasonable opportunities to the appellant. The appeals were allowed by way of remand, leaving all contentions open for further consideration.