In re Viewsonic Technologies India Private Limited (CAAR Mumbai)
Customs Authority for Advance Rulings (CAAR), Mumbai, has rejected the advance ruling application of Viewsonic Technologies India Private Limited concerning the classification and tax exemption eligibility of certain data projectors. The company sought a ruling on whether its projectors fell under Customs Tariff Item 85286200 and qualified for exemption under Serial No. 17 of Notification No. 24/2005, as amended. However, CAAR declined to entertain the application, citing Section 28-I(2) of the Customs Act, 1962, which bars advance rulings on matters already pending before a court.
During the hearings held in January and February 2025, ViewSonic’s representatives informed the authority that an earlier ruling (CAAR/Mum/ARC/97/2024) in the company’s own case had been challenged before the Madras High Court (CMA No. 2268 of 2024). The company sought additional time to secure a final order from the High Court, but CAAR reiterated that, under the law, it could not adjudicate an issue already under judicial review. No representative from the customs department appeared for the hearings.
CAAR emphasized that Section 28-I(2)(a) of the Customs Act prohibits ruling on cases where the same issue is under consideration by a court or tribunal. Given that the Madras High Court is already hearing Viewsonic’s challenge to the prior ruling, CAAR determined that proceeding with the application would be legally untenable. The authority noted that its previous ruling had already denied exemption for the data projectors in question, and any reconsideration would depend on the High Court’s final decision.
