Case Law Details
Commissioner of Customs Vs Acer India Pvt. Ltd. (CESTAT Chennai)
CESTAT Chennai held notebook computers imported for sale to Rajiv Ghandhi University of Knowledge Technologies, Hyderabad (RGUKT) i.e. institutional consumer and not ultimate consumer is assessable under section 4 based on transaction value and not based on Retail Sale Place.
Facts- The respondent, M/s. Acer India Ltd. filed bill of entry dated 06.02.2012 for import of notebook computers consequent to an order placed by Rajiv Ghandhi University of Knowledge Technologies, Hyderabad (RGUKT). The respondent had assessed the bill of entry on the basis of Retail Sale Price (RSP) for payment of duties. Later they realized that as the goods are for supply to educational institution and not intended for retail sale, the assessment ought to have been done under normal transaction value, instead of RSP based assessment. This resulted in excess payment of duty of Rs.12,41,118/-. The respondent then requested for re-assessment of bill of entry on the basis of transaction value and furnished copies of documents in the nature of order placed by the educational institution, invoices, advance amount received from the educational institution etc. They also paid back the Special Additional Duty (SAD) benefit availed by way of RSP based assessment at the time of import.
The original authority rejected the request for reassessment and held that the assessment and CV duty paid in terms of section 4A of Excise Act 1944 is legal and proper.
Commissioner (Appeals) set aside the order passed by the original authority and held that the goods are to be assessed under transaction value and that appellant would thereafter be eligible for refund. Being aggrieved, revenue has preferred the present appeal.
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