Case Law Details
United Sanitations Through Its Partner Sh. Deepak Dhawan Vs ADDL Commissioner of Customs (Delhi High Court)
Delhi High Court held that Sanitaryware meant for use in the kitchen, toilets or bathroom and although it may portray some art work in its designs, it is not „artwork‟ or „handicraft‟ Therefore, duty drawback could only be claimed in category of goods falling Chapter 74 vide item No. 741802.
Facts- The petitioner is holder of Import Export Code and is stated to be a regular exporter of CP Sanitary Bathroom Fitting in brass (Basin Mixer, Bath Mixer, Sink Mixer etc.), commonly known as sanitaryware under All Industry Rates Drawback Scheme.
The petitioner had claimed duty drawback @ 11% or Rs. 83 per kg (whichever was lower) by classifying the goods under drawback heading No. 741902 Customs Tariff Act, 1975, as amended upto date, while on the other hand, the Department asserted that the goods would be covered under sub heading 848180 thereby attracting drawback @ 7.3% or Rs. 43.10 per kg.
Conclusion- A bare perusal of the item No. 741902 in Chapter 74 pertains to “artware/handicraft”. By no stretch of imagination it can be said that merely because “sanitarywares” were having premium aesthetic and sleek design that such items would fall in the category of “artwork/handicraft”.
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