TaxTMI 
TaxTMI 
2004 (8) TMI 104
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....hese ball bearings were subsequently purchased by the Appellants and re-imported in India vide two Bills of Entries dated 14th March, 1995. There appears to be no dispute that the goods which have been imported are the same which had been exported by SKF Bearing (I) Ltd. The Appellants claimed benefit of the proviso Section 20 of the Customs Act, 1962, the relevant portion of which reads as follows : "Section 20. Re-importation of goods :- If goods are imported into India after exportation therefrom, such goods shall be liable to duty and be subjected to all the conditions and restrictions, if any, to which goods of the like kind and value are liable or subject, on the importation thereof : Provided that if such importation (other than im....
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....aining to custom duty and therefore when the Section uses the words "goods exported in bond" it necessarily refers to goods which were exported under a customs bond. He submitted that goods exported under an excise bond would not be covered by the words "goods exported in bond" in Section 20. He submitted that on principle of interpretation the words "exported in bond" must be restricted to mean goods exported under a customs bond. Mr. Ganguli further submitted that the Proviso to Section 20 refers to excise duty. He submitted that wherever the Legislature wanted to refer to excise duty it specifically said so. He submitted that the Legislature has knowingly not used the words "goods exported in excise bond", as they wanted the Proviso to a....
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....le at the time and place of importation of the goods; (c) in any case where the goods were exported in bond, without payment of - (i) the customs duty leviable on the imported materials, if any, used in the manufacture of the goods, or (ii) the excise duty leviable on the indigenous materials, if any, used in the manufacture of the goods, or (iii) the excise duty, if any, leviable on the goods. on payment of customs duty equal to the aggregate amount of all such duties calculated at the rates prevailing at the time and place of importation of the goods; (d) &....
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....ssion "in bond" must be confined only to a customs bond. It held that principle of construction of statute required that the words "in a particular statute" should be interpreted and construed only with reference to that statute, unless a different intention is clearly expressed. It held that statutes imposing pecuniary burdens must be subjected to rules of strict construction and that unless the language of the statute clearly imposes an obligation the language must not be strained in order to tax a particular transaction. 5.Mr. Ganguli submitted that this Judgment was upheld by the Division Bench of the Madras High Court and that thereafter this Court dismissed the SLP filed against the Order of the Division Bench. 6.At this stage itsel....
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....eld to the contrary. It is settled law that if the statute is clear and unambiguous then effect must be given to its words. We, therefore, hold that the above mentioned decision of the Madras High Court is erroneous and stands overruled. 8.We are unable to accept the submission of Mr. Ganguli that Section 20, as it stood at the time the goods were re-imported only referred to "goods exported under a customs bond". The words used are "goods exported in bond". It is well known that goods can be exported both under a customs bond as well as an excise bond. If the Legislature intended that only goods exported under a customs bond were to be covered it would have said so specifically. The Legislature had in mind the fact that at the time the go....
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....ch had not been paid, would have to be paid. Thus the subsequent Section 20, read with the Notification, also indicates that even though the provision is in the Customs Act the words includes goods exported under an excise bond "goods exported in bond". As prior and subsequent to Section 20 under consideration the position was that goods exported even under an excise bond were covered, it is not possible to accept the submission that during the relevant period the Legislature had made a departure. 10.Mr. Ganguli next submitted that the earlier Section 20 clearly provided that in cases of goods exported under an excise bond the customs duty payable would be equal to the excise duty which had not been paid. He submitted that even by the Noti....