TaxTMI 
TaxTMI 
2006 (10) TMI 9
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....on Notification and its relevant entries 2. The Central Government in exercise of powers conferred by sub section (1) of Section 25 of the Customs Act, 1962 issued a notification No. 11/97, and 1-3-1997 in public interest to exempt certain goods mentioned in the table of the notification read with relevant list appended thereto from payment of duty imported into India either in entirety or partially. 3. Notification No. 11/97 was amended by Notification No. 51/97 on 2-6-1997 to include certain other goods from payment of duty or partial duty. Relevant entries in List 9-B are: "1.Telephonic or telegraphic apparatus of the following description: (a) switching apparatus for cellular mobile telep....
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..... The Bill of Entry described the goods as radio equipment SRAL/7GHZ by the 8/2 MBPS under Tariff Heading 8525.20. Based on the Respondent's submissions and representation, Delhi Customs extended the benefit of the said notification to the goods imported by the Respondent. 6. Respondent filed a refund claim for an amount of Rs. 34, 73,385/- on 26-8-1999 for the goods imported at Bangalore. Respondent in the refund claim had annexed thereto technical literature and details explaining the nature of the equipment o show that radio terminals are to be classified either as 'BTS' equipment or 'BTS ancillary equipment' 7. Deputy Commissioner of Customs (Refunds), Bangalore by his order dated 10-4-2000 rejected the Respondent's claim for exem....
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....n notification as had been given by the Delhi Customs House. Aggrieved by the same revenue has come up in appeal. Discussion: 10. It is the case of the respondent that the radio terminals imported by it are BTS ancillary equipments, essential for providing connectivity for use of cellular phones. Whereas according to the Revenue the radio terminals are independent equipment having independent identity and function and are not ancillary equipments of BTS and are not covered under the said exemption notification. 11. What is exempted under the notification is Base Transmeter Station (BTS) or BTS ancillary equipment. Ancillary has been assigned the meaning in various dictionaries as P. Ramanatha Aiyar; the Lax Lexicon "aiding au....
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....equipment and the following ancillary equipments of BTS: Microwave Communication Equipments (Radio Terminals & Antennas). • Power Converter Unit •Battery Back-up Unit •GSM & Microwave Antennas • Installation/Ancillary Items. BTS equipment is a 19 inch cabinet consisting of Transceiver Control Units, RF modules like Combiner band pass filter, duplexer, integrated antenna distribution unit (IADU), Digital Cage consisting of Main Control Unit (MCU), Fibre optic extender (FOX), Network Interface Unit (NIU), power supplies (NPSM & BPSM) and interconnecting feeder cables. The BTS equipment operates in 900 MHz GSM Band. The speech is converted into digital mode by the mobile and sent to the BTS situated at the calle....
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.... 15. The technical literature submitted makes it cleat that the radio terminals transport the already converted digital speech from BTS equipment to the BSC (Base Station Control) through the outdoor units and antennas. It demonstrates that these radio terminals are solely and principally used with the BTS and therefore they rightly qualify as BTS ancillary equipments to be eligible the benefit of Notification No. 11/97, dated 1-3-1997 as amended by Notification No. 51/97, dated 2-6-1997. Radio terminal is not independent equipment having its own independent function. It cannot be termed as general purpose radio equipment as the technical literature clearly indicates that this is specially designed to support Mobile Communication Network in....