Case Law Details
Commissioner of Customs Vs Meethel Puthiya Purayil Kassim (CESTAT Chennai)
In the case of Commissioner of Customs vs. Meethel Puthiya Purayil Kassim, the respondent imported a 2013 Nissan Petrol Car Upper Grade ASR SPEC (13-999) from the UAE, valued at AED 2,15,000 (CIF), claiming the benefit of Notification No. 21/2002 dated 01.03.2002. This notification grants exemption for certain motor vehicles, including cars, under specified conditions.
The adjudicating authority initially rejected the importer’s claim for exemption, citing several reasons. Firstly, it was stated that the importer failed to submit Type Approval/COP (Conformity of Production) certificates from the country of manufacture, as required by Rule 126 of the Motor Vehicle Rules, 1989. Additionally, it was argued that the vehicle couldn’t be considered new as it had been sold once before importation, contravening import licensing notes.
Further, the assessable value was re-determined by the adjudicating authority under Customs Valuation Rules, 2007, due to doubts about the declared value. The adjudicating authority used the value of similar vehicles imported into Australia as a basis for revaluation, which the appellant contested.
The Commissioner (Appeals), however, overturned the adjudicating authority’s decision. Firstly, it was concluded that the vehicle should be considered new, as there was no evidence to suggest it had been used prior to importation, despite being registered in the UAE. Additionally, the Commissioner accepted the value declared by the importer, stating that the adjudicating authority had not provided sufficient reasons to doubt it. The Commissioner also noted that the importer had produced a GSO (Gulf Standardization Organization) Conformity Certificate, which was deemed acceptable despite mentioning right-hand drive, as this was the standard model used in India.
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