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TMI Blog2015 (10) TMI 188X X X X Extracts X X X X X X X X Extracts X X X X ..... pse of six months from date of import of impugned goods, and has been issued beyond normal period of limitation – Goods were subjected to first check before they were finally assessed and, therefore, department was fully aware of nature of product imported – Therefore, question of invoking extended period of time would not arise – Clear that there were divergent practices with regard to classification of TV tuners used for ADP machines and, therefore, appellant is right in entertaining bona fide belief that classification of goods imported by them could be under CTH 8473 30 99 – In said circumstances, bona fide of belief entertained by appellant cannot be questioned at all –Consequently, entire demand and consequent liability are not legall ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... llant is aggrieved of the confirmation of duty demand subsequent imposition of fine and penalties confirmed in the impugned order, Revenue is aggrieved because the Commissioner did not impose equivalent amount of penalty under Section 114A of the Customs Act. Hence the appeals. 3. The learned Counsel for the appellant submits that the VGA box imported by the appellant performs a specific function of converting the TV signals into digital signal so that the same can be viewed on the computer. The said VGA box is specifically designed for use along with the computer system and cannot be used as a stand-alone device or with any other electronic equipment and, therefore, the same merits classification as parts and accessories of a computer u ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... oms - 2004 (172) E.L.T. 316 wherein, considering the classification of the entity TV box designed to convert TV signals into digital signals which can then be sent for display, storage, print out on a computer, this Tribunal held that such TV box merits classification under CTH 8473 30 as an accessory to machines under Heading 8471. The ratio of this decision would also apply squarely to the facts of the present case. 3.2 The learned Counsel further points out that the Commissioner while recording his finding, has observed that the appellant misdeclared the product as computer parts and accessories in the Bill of Entry whereas in the invoices, the products were mentioned as VGA card/box and this amounts to deliberate misdeclaration with ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Commissioner (AR) appearing for the Revenue reiterates the finding of the adjudicating authority. He submits that the Commissioner has come to the conclusion that the appellant misdeclared the goods and, therefore, confirmed duty liability by invoking the extended period of time. He further submits that since he has confirmed duty on the basis of misdeclaration/suppression of facts, the Commissioner should have imposed penalty under Section 114A of the Customs Act which mandates imposition of penalty equal to the duty and interest confirmed against the appellant. Therefore, while imposing the penalty, the Commissioner committed an error and hence the penalty imposed on the appellant should be enhanced as provided under Section 114A of the C ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... said circular itself in the opening paragraph states that : Reference have been received on divergent practices being followed by field formations regarding classification of TV tuners. It was reported that external TV tuners are being classified in Heading 8528 of 8529, and internal PCI TV tuners/cards are being classified in sub-heading 8528 of 8529 or sub-heading 8473. 6.2 From the circular of the Board, it is clear that there were divergent practices with regard to the classification of the TV tuners used for the ADP machines and, therefore, the appellant is right in entertaining a bona fide belief that the classification of the goods imported by them could be under CTH 8473 30 99. Further, in the case of Zenith Computers Ltd. ..... X X X X Extracts X X X X X X X X Extracts X X X X
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