9911796707
TMI Blog2012 (10) TMI 728X X X X Extracts X X X X X X X X Extracts X X X X ..... sp;The appellant M/s. Mahavir Health & Medical Relief Society, Surat, imported medical equipment, namely, whole body CT scanner vide bill of entry No. 3413 dated 7-1-91. The importer claimed Customs duty under Notification No. 64/88-Cus., dated 1-3-1988 and also produced a Customs duty exemption certificate issued by the Directorate General of Health Services (DGHS) as required under said notification. The DGHS subsequently cancelled the Customs duty exemption certificate and, therefore, a show-cause notice dated 8-4-99 was issued to the appellant/importer demanding Customs duty of Rs. 94,80,980/- under Section 28 of the Customs Act, along with interest thereon @ 20% per annum under Section 28AA of the Customs Act and also proposing to impo ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s. 60,85,786/- from the importer under Section 125(2) of the Customs Act, 1962 along with interest chargeable under Section 47(2) ibid. The appellant is before us against the impugned order. 3. The Ld. Counsel for the appellant submits that while computing the duty demand, the Ld. Adjudicating authority has committed an error. Vide Notification No. 140/90-Cus., dated 20-3-1990, the goods which are exempt under Notification No. 65/88-Cus., dated 1-3-1988 are completely exempt from the Auxiliary duty of Customs levied under the Finance Act and, therefore, no auxiliary duty is leviable on the impugned goods. Further, since the impugned goods are exempt from countervailing duty (Additional Customs Duty), they are also exempt from Special ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ance Act. Further, Notification No. 65/88-Cus., grants exemption not only from the basic Customs duty but also from the Additional Duty of Customs (CVD) leviable under Section 3 of the Customs Tariff Act. Special Excise Duty, which is levied a percentage of Basic Excise duty forms part of the additional duty of Customs leviable under Section 3 of the Customs Tariff Act. Thus, when CVD is exempted, there is no liability to pay special excise duty. The Commissioner, while quantifying the duty liability, has not granted any benefit in respect of special excise duty. Thus, the entire quantification confirmed by the adjudicating authority is totally incorrect and the matter has to be remanded back to the adjudicating authority for correct quanti ..... X X X X Extracts X X X X X X X X Extracts X X X X
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