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2017 (12) TMI 1112 - AT - CustomsWhether the digital still image video cameras imported by the appellant are eligible for the benefit of nil rate of customs duty during the disputed period when the explanation was in place under N/N. 25/2005-Cus? - capability to record video for as long as 30 minutes in a single sequence using the maximum storage (including expanded capacity) - The interpretation of the Revenue is that digital cameras entitled to the benefit should not be capable of recording, a single sequence of more than 30 minutes using the maximum storage (including expanded capacity) - It has been found on examining the digital cameras that keeping in view the equipment memory capacity at the time of import, the cameras are capable of recording the video at resolutions and speed more than what is indicated in the notification, for a period greater than 30 minutes. If the maximum expanded storage capacity is taken into account, the recording time for the video is many times more. As such, Revenue is of the view that the imported cameras will not be entitled to the benefit of the notification. Held that: - The imported digital cameras taking into consideration the memory capacity at the time of import, were found to have the capability of recording video in a single sequence of more than 30 minutes. However, during investigation, it was found that such capabilities have been restricted through firmware to a single sequence of less than 30 minutes. Hence, the fact of matter is that the imported digital cameras, can run a single sequence of only less than 30 minutes whereas the cameras have the capability to have a single sequence of much more than 30 minutes - Such an interpretation will make the stipulation in the explanation to the Notification about the maximum storage (including expanded) capacity as redundant. It is obligatory to read and satisfy all the conditions of the notification without rendering any part therein as redundant. Since in the present case, the imported digital cameras are capable of recording video with minimum resolution and minimum recording speed for more than 30 minutes in a single sequence; using maximum storage capacity, such cameras will not be entitled to the benefit of notification. It is well settled that a person who claims exemption or concession, has to establish that he is entitled to that exemption or that concession. In the present case, as discussed above, the impugned goods do not fulfill all the conditions specified in the notification and hence it is an inevitable that the benefit of notification is denied to these goods. Time limitation - Held that: - It is clear that the appellants deliberately did not declare the full details of the imported goods and cleared the same by wrongly availing the benefit of notification. The correct facts came to the light only during investigation by DRI - demand cannot be held as time barred - extended period rightly invoked. Exemption from payment of cess - Education and Secondary and Higher Education Cess - Held that: - It may be mentioned that Exemption Notification NO. 69/2004-Cus dated 9.7.2004 and 28/2007 dated 01.03.07 exemption from Education Cess and Senior and Higher Secondary Education Cess for Digital Still image video cameras falling under Tariff Item 8525 8020. It is seen that these exemptions were continued even for the period under dispute - same exemption was continued as far as Cess is concerned, for the disputed period. Hence, Education Cess and Senior and Higher Secondary Education Cess cannot be demanded for the disputed period. Appeal dismissed - decided against appellant.
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