Commissioner Vs Shiv Ganesh Exim Pvt. Ltd. (CESTAT Delhi)
CESTAT Delhi held that as per section 17(4) of the Customs Act the proper officer is required to pass a speaking order on the re-assessment. Matter remanded to Commissioner (Appeals) to pass a fresh order after taking into consideration the speaking orders passed by AO.
Facts- 18 Bills of Entries were filed by the respondent in respect of import of Aluminium Scrap. The respondent self-assessed the duty, but AO prima facie did not accept the value and put a query to the respondent that the value of the aluminium scrap did not match the contemporary import data. The respondent was, therefore, asked to submit evidence in support of the accuracy of the price declared in the Bills of Entry.
In respect of these 18 Bills of Entry, a speaking order was passed by the assessing officer. The value declared by the respondent was rejected and was re-determined. Feeling aggrieved, the respondent filed 18 appeals before the Commissioner (Appeals), which appeals have been allowed by the order dated 06.05.2021. Being aggrieved, department has preferred the present appeals.
Conclusion- It clearly transpires from a perusal of section 17(5) of the Customs Act that if a speaking order is not passed on the reassessment within 15 days from the date of re-assessment of the Bills of Entry, the transaction value as declared by the assessee in the Bills of Entry would have to be accepted. The Commissioner (Appeals), however, proceed to imagine grounds for enhancement of the value and dealt with them. This exercise was really not required to be undertaken by the Commissioner (Appeals).
