Binding monetary limit for customs appeals bars departmental challenges below the prescribed threshold.

Departmental appeals in customs matters are subject to the monetary limit prescribed by binding CBIC instructions issued under Section 131BA of the Customs Act, 1962. The text explains that the revised threshold of Rs. 50 lakhs applies to appeals before the Tribunal, and that appeals below that limit should not be filed while pending matters within the limit should be withdrawn. It further notes the accepted view that such instructions bind the department and are intended to reduce avoidable litigation, so appeals falling below the prescribed threshold are treated as not maintainable.

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Issues: Whether the Revenue appeals were maintainable in view of the monetary limit prescribed in the CBIC instructions issued under Section 131BA of the Customs Act, 1962.

Analysis: The appeals were each below the revised monetary limit of Rs. 50 lakhs prescribed for filing appeals before the Tribunal. The instructions of 02.11.2023, issued in exercise of the Board's statutory power, require that appeals below the prescribed limit should not be filed and pending matters within the limit should be withdrawn. The Tribunal also noted the consistent view that such circulars and instructions are binding on the department and are meant to reduce avoidable litigation.

Conclusion: The appeals were not maintainable because they fell below the prescribed monetary threshold, and the Revenue's challenge was rejected.

Ratio Decidendi: A departmental appeal below the monetary limit fixed by binding instructions issued under Section 131BA of the Customs Act, 1962 is not maintainable and must be dismissed to give effect to the statutory litigation policy.

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