R.K. Digital Solutions Vs Commissioner of Central Tax (CESTAT Hyderabad)
CESTAT Hyderabad held that gold pendant are finished gold jewellery hence classifiable under Customs Tariff Heading [CTH] 7113 and not under CTH 7108. Accordingly, benefit of exemption from payment of customs duty admissible.
Facts- The appellant is a partnership firm based out of Hyderabad, inter alia, engaged in the import and export of gold jewellery and holds the Importer Exporter Code. In the usual course of business, the appellant imported consignment of 250 numbers of gold pendants that are oval shaped of 99.99% purity, each weighing 20 grams, in all totalling to 5 kgs, valued about Rs. 2,15,60,883.27/- from a manufacture in Indonesia vide Bill of Entry dated 10.05.2021 and classified them under CTH 7113 1910. The impugned goods, being covered under the ASEAN-India Foreign Trade Agreement (FTA) at Sl. No. 966 of Notification No. 46/2011-Cus dated 01.06.2011 which was further amended vide Notification No. 82/2018-Cus dated 31.12.2018, the appellant claimed exemption from payment of customs duty since the goods imported were of Indonesian origin and covered under FTA, as notified by the above notification.
Thereafter, all documents including survey report and the pre-export verification report issued by the surveyor of the Country of Origin of goods, namely, Republic of Indonesia were submitted along with uploading of Form-1 on 17.05.2021 as per Customs (Administration of Rules of Origin under Trade Agreement) Rules, 2020 to claim the benefit. The imported goods were not released by the Department.
