TaxTMI 
TaxTMI 
2020 (2) TMI 1432
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....and not Rotary Tillers. The respondent had claimed the benefit of Notification No. 12/2012-Cus., dated 17-3-2012 under Sl. No. 399(A) which is available to Rotary Tiller/Weeder. As the examining Officer affirmed what was imported were Power Tiller and not Rotary Tiller as discussed in the Bills of Entry, the Bills of Entry were reassessed denying the benefit of exemption Notification No. 12/2012-Cus. Further, the goods were held to be liable for confiscation under Section 111(m) of the Customs Act, 1962. It was also held that the importer (respondent) was also liable for penalty under Section 112(a) and 114A of the Customs Act, 1962. Thus concluding, the Joint Commissioner of Customs, confiscated the goods under Section 111(m) of the Act and allowed their redemption fine of Rs. 5 lakhs. He also imposed a penalty upon the importer under Section 114A of the Customs Act, 1962, amounting to Rs. 8,56,380/-. 4. Aggrieved, the respondent appealed to the first appellate authority, who, by the impugned order, allowed the appeal giving benefit of the exemption Notification to the imported goods holding that they are eligible for exemption under Sl. No. 399(A) of the exemption Notific....
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....ment to prove it otherwise. (iv) That the Central Board of Excise & Customs vide their Circular No. 45/2001-Cus., dated 7-8-2001 has clarified that "Rotary Tillers/cultivators are reported to be an implement/attachment with blades or tines mounted on a poser driven shaft. These equipments classifiable under CTH 84.32 are fitted as an attachment to tractor. Power Tillers are on the other hand, prime movers in which the direction of travel and control for field operations is performed by the operator walking behind it. Hence, it is clear that power tillers/pedestrian controlled tractors/walking tractors are different from rotary tillers. (v) That in an identical issue Commissioner of Customs (Appeals), Custom House, Kolkata in his Order-in-Appeal No. 416-422/Cus(Apprg)/KOL(P)/2014 dated 11-9-2014 has held that "Power Tillers" and "Rotary Tillers" are two different items and by any stretch of imagination both cannot be understood as same. A tiller may rotary or non-rotary depend on 'rotation' or 'straight' movement. On the other hand, a tiller may be driven by a bullock or horse or power. A Rotary Tiller may be driven with power an....
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....is case, even though the amount of duty involved is less than Rs. 10 lakhs. Therefore, the Department does not wish to withdraw this appeal as the case is not covered by the Litigation Policy and insists that an order may be passed. As the Revenue is not withdrawing the appeal and asserts that is not covered by the Litigation Policy, we proceed to examine and decide the matter on merits. 8. Since times immemorial men learned that the soil needs to be loosened in order to grow crops. This has been done using a variety of implements and machines starting with spades, bullock drawn ploughs, tractor drawn ploughs and other instruments. There are basically three types of instruments, which loosen soils. Ploughs, which loosen the soil, harrows and hoes, which pulverize the soil breaking large clods of soil into finer particles and rotary tillers, which rotate and plough the soil. Tractor is a vehicle constructed essentially for hauling or pushing another vehicle, appliance/implement, whether or not with subsidiary provision for transport. There are tractors, which are used mainly for lifting and handling goods in warehouse, factory, railway platform, etc. There are also other tra....
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....s so-called clarification, he held that the benefit of exemption notification, is available and accordingly, set aside the order of the lower authorities. 10. The Ld. DR for the Revenue, submits that the first appellate authority has erred relying upon the so-called clarification, which is nothing but a letter/memo from the Deputy Commissioner (M&T) of the Department of Agriculture & Cooperation to the Under Secretary (Policy) of the same Department essentially dealing with the representations of different associations and requesting that the Under Secretary to examine the matter and take up the matter with the Finance Ministry to extend the benefit of concessional rate of duty to Power Tiller. 11. The Ld. Counsel for the respondent, supports the impugned order. 12. We have considered the arguments of both sides and the issue to be decided : (a) the benefit of exemption Notification 12/2012-Cus., dated 17-3-2012, Sl. No. 399(A) available to Rotary Tiller/Weeder is also available to Power Tiller, which were imported by the respondent. (b) whether the imported goods were liable for confiscation ....
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....wer take off for driving machines such as threshers and circular saws. It is further stated that this heading also covers 'pedestrian controlled tractors' or 'Walking tractors'. These tractors are small agricultural tractors equipped with a single driving axle carried on one or two wheels, and like normal tractors, they are designed for use with interchangeable implements which they may operate by means of a general purpose power take off. Such tractors are not usually fitted with a seat and the steering is effected by means of two handles. 4. Rotary tillers/cultivators are reported to be an implement/attachment with blades or tines mounted on a power driven shaft. These equipment classifiable under CTH 84.32 are fitted as an attachment to tractor, Power tillers are, on the other hand, prime movers in which the direction of travel and control for field operations is performed by the operator walking behind it. Hence, it is clear that power tillers/pedestrian controlled tractors/walking tractors are different from rotary tillers. 5. The Explanatory Notes make it clear that 'pedestrian tractors' are to be classified under CTH 87.01 as tractors and not as '....