TaxTMI 
TaxTMI 
2014 (8) TMI 315
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....n insulators to M/s Siemens China during the period October 2002 to February 2003. The products were rejected on account of quality and were brought back by appellant for testing and carrying out repairs. At the time of import, appellant claimed exemption under Notification No.158/95-Cus, dt.04.11.1995 by furnishing a bank guarantee of Rs. 25 lakhs but could not effect export after undertaking repairs etc. Later, appellant requested for finalization of provisional assessment by claiming exemption under Notification No.94/96-Cus, dt.16.12.1996 (Sr.No.2A). First appellate authority in the order appealed against held that duty paid under Notification No.94/96-Cus has to be considered as Basic Customs Duty and that Special Additional Duty (SAD)....
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....s his case that no SAD is payable in their case as per Sr.No.56 of Table to exemption Notification No.23/2002-Cus, dt.1.3.2002 as Customs duty leviable under the first schedule to the tariff stand exempted under Notification No.94/96-Cus. He relied upon the following case laws: i) Alok Industries Vs. CCE 2003 (156) ELT 276 (Tri-Mum) ii) CC Vs Ace Designers Ltd 2006 (200) ELT 85 (Tri-Bang) iii) CC Vs Lokesh Machine Ltd 2006 (200) ELT 466 (Tri-Bang) iv) M/s Hi-tech Arai Ltd Vs CC 2007 (220) ELT 166 (Tri-Che.) &n....
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....the appellant. 6.1 It is observed that main body of exemption Notification No.94/96-Cus dt.16.12.1996 and Sr.No.2A are as follows:- Exemption to re-import of goods exported under duty drawback rebate of duty or under bond. - In exercise of the powers conferred by sub-section (1) of section 25 of the Customs Act, 1962 (52 of 1962) and in supersession of the notification of the Government of India in the Ministry of Finance, (Department of Revenue), No. 97/95 Customs, dated the 26th May, 1995 the Central Government, being satisfied that it is necessary in the public interest so to do, hereby exempts the goods falling within any Chapter of the First Schedule to the Custom....
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.... 56. Any Chapter All goods which are exempt from - (a) the whole of the duty of customs leviable thereon under the First Schedule; and (b) the whole of the additional duty of customs leviable thereon under sub-section (1) of section 3 of the Customs Tariff Act. Nil 6.3 It is evident from the body of the Notification No.94/96-Cus that though exemption is issued under Notification No.25 of the Customs Act, 1962 but it exempts Basic Customs Duty under first schedule to the Customs Tariff Act, Additional Duty (CVD) leviable under Section 3 of the Customs Tariff Act and Special Duty of Customs under Section 68(1) of the Finance Act, 1996. It will not be correct, as held by first appell....
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....evied on such re-imported goods is the Customs duty and not Central Excise duty and the mention of the amount of Central Excise duty in Column No. 3 of the table is only a measure of Customs duty leviable under the Notification and this amount comprises of Customs duty leviable under the first schedule and the additional duty leviable under Section 3(1) of CTA and special duty of Customs. In fact, the Customs Act does not authorise levy of Central Excise duty on any goods imported to India. Import as defined in Section 2(23) of Customs Act, 1962 means bringing goods into India from a place outside India and, therefore, re-import also is nothing but import. Section 12 which is the charging Section for levy of Customs Duty authorises levy of ....