Commissioner of Customs(Export) Vs Life Scan Medical Devices India Pvt. Ltd. (CESTAT Mumbai)
The Revenue filed an appeal against the Order-in-Appeal dated 24.05.2023 passed by the Commissioner of Customs (Appeals), who had set aside the Order-in-Assessment dated 28.02.2022 and allowed the appeal of the respondent-importer. The dispute concerned the customs classification of the imported goods, namely “One Touch Select Simple Blood Glucose Monitoring System” and “One Touch Select Plus Simple Blood Glucose Monitoring System.”
The respondent, a SEZ importer, classified the goods under Customs Tariff Item (CTI) 90278090 as instruments or apparatus for chemical analysis and claimed clearance at NIL Basic Customs Duty (BCD). The Revenue contended that the goods were correctly classifiable under CTI 90189099 as diagnostic instruments and apparatus used in medical, surgical, dental or veterinary sciences, attracting 10% BCD, though the effective rate under Notification No. 50/2017-Customs was 5% for blood glucose monitoring systems and test strips. Initially, the goods were provisionally assessed under CTI 90278090 pending investigation by the Special Valuation Branch (SVB), with duty paid under protest. After the SVB accepted the declared value, the provisional assessment was finalized by classifying the goods under CTI 90189099, demanding differential duty and interest. The importer successfully challenged this order before the Commissioner (Appeals).
