AI OCR 
TaxTMI 
TaxTMI 
TaxTMI 
2026 (1) TMI 729
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....ce Tax [IGST] was 5%. A team of officers of the Delhi Customs Preventive Commissionerate examined the goods on 13.07.2022 in the presence of two independent witnesses and the customs broker and found them as declared. However, they formed an opinion that the goods merit classification under CTI 8708 99 00 being car window shades made up of PVC synthetic sheet meant exclusively for motor vehicles and that they were accordingly exigible to BCD at 15% and IGST at 28%. The value declared by the appellant was also doubted. 3. The appellant gave a letter dated 19.07.2022 to the Deputy Commissioner of Customs (Group V) stating that their classification of the goods under CTI 6303 99 90 was correct as the goods were curtains which were specifically covered under that CTI. It further asserted that value declared in the Bill of Entry was true and also produced a copy of the remittance as proof. However, since the imported goods were meant for summer and any delay in clearance would have affected sales badly, it agreed to pay duty on the value and CTI as proposed by the department along with fine and penalty. It also waived the show cause notice and personal hearing. Accordingly, the Joint....
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....99 90 on the basis of the explanatory notes to section XVII which, inter-alia, states that the articles need to comply with three conditions to be classified under that section including the condition that they must not be more specifically included elsewhere in the nomenclature. In this case, the goods imported by the appellant viz., curtains - though designed for use in cars - are specifically covered under CTH 6303 and, therefore, they cannot classified under CTH 6708 ; (ix) The imported goods have been wrongly held liable to confiscation under section 111 (m) of the Act. Consequently, the redemption fine imposed under section 125 of the Act also needs to be set aside ; (x) The impugned order may be set aside with consequential relief to the appellant. Submissions of the Revenue :- 5. Learned authorized representative for the Revenue submitted as follows :- (i) The imported goods were clearly car accessories and were mentioned, as such, in the Bill of Entry the import invoice and the packing list. The specific description was "MAAS car accessories and sun shield/sun shed" and this fact is not in dispute ; (ii) During examination, it was ....
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....d 19.07.2022 and 02.08.2022 and had waived the requirement of personal hearing and show cause notice and that it was not open to the appellant to challenge the classification and valuation at a later date. It is for this reason that the Commissioner (Appeals) did not deal with the question of classification or valuation. The Commissioner (Appeals) has completely misread the letter dated 19.07.2022 sent by the appellant. Not only did the appellant not accept the classification or valuation proposed but it had asserted that the classification and valuation in the Bill of Entry in its self-assessment were correct. However, since the goods were not being cleared by the department, the appellant agreed to pay the duty as per the department's classification and valuation especially since the goods were seasonal and no purpose would have been served if the goods are released late. 8. We now examine the classification of the goods :- The two competing entries are CTI 6303 99 00 and CTI 8708 99 00. These entries read as follows :- Tariff Item Description of goods 6303 Curtains (including drapes) and interior blinds; curtain or bed valances - Knitted or crocheted ; 6303 ....
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....(which includes 8703) fall under CTH 8708. 11. This CTH is divided into "Bumpers and parts thereof", "other parts and accessories of bodies", "brakes and parts thereof", "gear boxes and parts thereof", "suspension system and parts" and "other parts and accessories". The "other parts and accessories" are further sub-classified. The residual heading 8708 99 00 covers parts and accessories which do not fall under any of the above groups. 12. Admittedly, what were imported by the appellant were not curtains or drapes but were shades meant and for use in cars. We do not find CTI 6303 99 90 is the correct classification for such car accessories even though the purpose of this particular accessories is to provide protection from the sun. They are clearly not curtains. Such shades are sold as car accessories in shops. They have also been described as car accessories in the appellant's own documents. Therefore, on question of classification of the goods, we find in favour of the department and against the appellant. 13. As far as the valuation is concerned, according to the appellant, it had declared the transaction value in its Bill of Entry. The transaction value was rejected by ....