Case Law Details
In re Delmon Solutions Private Limited (CAAR Mumbai)
Introduction: The Customs Authority for Advance Rulings, Mumbai (CAAR), recently issued a comprehensive ruling on the classification of Handheld Mobile Computers, pertaining to an application filed by M/s. Delmon Solutions Private Limited. The ruling, dated 25th September 2023, addresses the classification under the Customs Act, 1962, and provides insights into the intricacies of importing ten specific models of Handheld Mobile Computers through the Air Cargo Complex, Mumbai.
Detailed Analysis: The applicant, engaged in industrial TOT solutions and importing Handheld Mobile Computers since 2018, sought an advance ruling on the classification of specific models. The devices, collectively referred to as “handheld mobile computers,” are designed for tasks such as barcode scanning and data processing, enhancing efficiency in functions like inventory management.
The Handheld Mobile Computers share common features, including Qualcomm Snapdragon processors, Android 10 operating systems, front and rear cameras, Gorilla Glass, and various connectivity options. The applicant emphasized the industrial nature of these devices, showcasing rugged design, water and dust resistance, and functionality in harsh environments.
The applicant argued for the classification of these devices under Heading 84.71 of the Customs Tariff Act, specifically under sub-Heading 8471.30. The devices were presented as Automatic Data Processing (ADP) Machines, meeting the conditions specified in Note 6(A) to Chapter 84. The analysis highlighted the devices’ ability to store and process data, being freely programmable, performing arithmetical computations, and executing processing programs without human intervention.
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