TaxTMI 
TaxTMI 
2026 (8) TMI 1323
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....6.2017 (Sl. No. 227) and this was upheld by the Commissioner (Appeals) in the impugned order. Aggrieved by this, the appellant is in appeal before us. 3. Learned Counsel for the appellant submits that since "Keyboard" for Automatic Data Processing Machine is specifically covered by CTSH 8471 6040 in which rate of duty is "Free" by Tariff, the same is not dutiable and is, therefore, not covered by CTSH 9804 9000 when imported for personal use. He submits that for any goods to fall under CTSH 9804, they should in the first place be dutiable. Further submits the Commissioner (Appeals) at Para 8 of the impugned order had observed that the keyboard is not classifiable under chapter heading 9804 but however classified the same under 9804 and upholds the order of the original authority which is contrary to his observations. Relying on the decision of the Hon'ble Supreme Court in the case of Associated Cement Companies Ltd v CC: 2001 (128) ELT 21 (SC) submits that when a Heading in Chapter 98 of the Customs Tariff refers to "Dutiable Goods", it cannot cover those goods for which under Chapters 1 to 97 the rate of duty is "Free". 3.1 He further submits that for the same reason, for IG....
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....g the same the Chapter Notes of Chapter Heading is reproduced below: Chapter 98 Project imports; laboratory chemicals; passengers' baggage, personal importations by air or post; ship stores 1. This Chapter is to be taken to apply to all goods which satisfy the conditions prescribed therein, even though they may be covered by a more specific heading elsewhere in this Schedule. 2. Heading 9801 is to be taken to apply to all goods which are imported in accordance with the regulations made under section 157 of the Customs Act, 1962 (52 of 1962) and expressions used in this heading shall have the meaning assigned to them in the said regulations. 3. Heading 9802 covers all chemicals, organic or inorganic, whether or not chemically defined, imported in packings not exceeding 500gms or 500 millilitres and which can be identified with reference to the purity, markings or other features to show them to be meant for use solely as laboratory chemicals. 4. Headings 9803 and 9804 are taken not to apply to: (a) motor vehicles; (b) alcoholic beverages; and (c) tobacco and manufactured products thereof. 5. Heading 9803 is to be taken not to app....
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....017), the Central Government, on the recommendations of the Council, hereby notifies the rate of the integrated tax of- (i) 5 per cent. in respect of goods specified in Schedule I, (ii) 12 per cent. in respect of goods specified in Schedule II, (iii) 18 per cent. in respect of goods specified in Schedule III, (iv) 28 per cent. in respect of goods specified in Schedule IV, (v) 3 per cent. in respect of goods specified in Schedule V, and (vi) 0.25 per cent. in respect of goods specified in Schedule VI appended to this notification (hereinafter referred to as the said Schedules), that shall be levied on inter-State supplies of goods, the description of which is specified in the corresponding entry in column (3) of the said Schedules, falling under the tariff item, sub-heading, heading or Chapter, as the case may be, as specified in the corresponding entry in column (2) of the said Schedules. SCHEDULE I - 5% S. No. Chapter/ Heading/ Subheading/ Tariff item Description of Goods (1) (2) (3) 1. 0303 Fish, frozen, excluding fish fillets and other fish me....
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..... Even though the definition of the goods purports to be an [inclusive one], in effect it is so worded that all tangible movable articles will be the goods for the purposes of the Act by residuary clause 2(22)(e). Whether movable article comes as a part of a baggage, or is imported into the country by any other manner, for the purpose of the Customs Act, the provision of Section 12 would be attracted. Any media whether in the form of books or computer disks or cassettes which contain information technology or ideas would necessarily be regarded as goods under the aforesaid provisions of the Customs Act. These items are movable goods and would be covered by Section 2(22)(e) of the Customs Act. 25. The rate at which the customs duty is to be imposed has to be such as may be specified in the Customs Tariff Act. This is stipulated by Section 12 of the Customs Act. Thus the two Acts have to be read in conjunction with each other. 26. Section 2 of the Tariff Act states that the rate at which duties of customs shall be levied under the Customs Act are specified in the First and Second Schedules to the said Act. Re : Whether heading No. 98.03 applicable ....
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....was that the said baggage which contained dutiable articles was not to be taxed separately as articles but the baggage as a composite unit was to be taxed in its entirety, after giving a credit for the free allowance which was available to the passenger. 64. We, therefore, concur with the conclusion of the Tribunal and the Commissioner that the provisions of Chapter 98 were rightly applied on the facts of these cases. 72. It was contended by Mr. Bulchandani on behalf of appellant that at the time when the drawings were imported into India, the import of the same was free and even if the drawings were to be regarded as part of the baggage of Mr. Kato, thereby applying the provisions of Heading No. 98.03, even then no duty could be imposed. xxxxx 74. We find force in the contention of the appellant. Heading No. 98.03 of Chapter 98 of the Schedule in the Tariff Act imposes a prescribed duty of 150 per cent on 'dutiable articles' imported by a passenger or a member of a crew in his baggage. What is, therefore, to be seen is whether the drawings and designs were dutiable articles. Heading No. 49.06 under Chapter 49 of the Customs Tariff for the year 1....