9911796707
|
Home
Issues:
1. Valuation of imported goods based on historical method vs. current market value. 2. Confiscation of goods for import of machines more than 10 years old without a license. Valuation of imported goods based on historical method vs. current market value: The appeal involved a dispute regarding the valuation of 18 photocopy chassis imported at Chennai Port. The declared value was 150 Canadian Dollars per piece, but the Customs Authorities had the value estimated by a Chartered Engineer at 1000 Canadian Dollars per piece. The appellant argued that the historical method of valuation adopted by the Chartered Engineer was unreliable and that goods should be valued based on the current market value. The Chartered Engineer's report noted that the machines were used, not of a popular brand, not a current model, and more than 10 years old. However, the report did not provide details of the model or manufacturer, and no valid reason was given for rejecting the transaction value. Confiscation of goods for import of machines more than 10 years old without a license: The Tribunal found that while the valuation made by the Customs Authorities was unreliable due to serious defects, the charge of importing old machines without an import license was valid. According to the Import Policy, second-hand goods over 10 years old require an import license, which the appellant failed to obtain. As a result, the consignment was liable to confiscation. The Tribunal set aside the enhanced value fixed by the Customs authorities but upheld the confiscation of the goods. The redemption fine was reduced to Rs. 15,000, and the penalty was reduced to Rs. 10,000. The goods were ordered to be reassessed at the declared value, with excess duty paid refunded to the appellant along with any excess redemption fine and penalty collected. In conclusion, the Tribunal partially allowed the appeal by setting aside the enhanced value but upholding the confiscation due to the lack of an import license for machines over 10 years old. The decision highlighted the importance of valuing goods based on current market value and complying with import regulations to avoid confiscation and penalties.
|
