Home Case Index All Cases Customs Customs + AT Customs - 2013 (5) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2013 (5) TMI 808 - CESTAT MUMBAIDenial of exemption claim Notification No. 25/2005, dated 1st March, 2005 and Notification No. 21/2002, dated 1st March, 2002 and Notification No. 69/2004, dated 9th July, 2004 - Penalty u/s 114A and 114AA - Held that:- RBI which is the statutory governing body for use of ATM has clarified that in addition of cash dispensing ATM may have many services/facilities enabled by the bank owning the ATM such as account information, cash deposit, regular bill payment, purchase of reload vouchers for mobiles, mini/short statement and loan account enquiry etc. Therefore, there is no room for any doubt on the proposition that a machine which functions as automatic cash dispenser/bank note dispenser would qualify to be an ATM if it provides the customer of bank the facility of assessing their account not only for dispensing cash but also to carry out any other financial and non-financial transaction. The said meaning given by RBI to an ATM machine has also been applied by RBI under its Master Circular dated 2-7-2007, which is applicable to all computerized machines having facility of accessing the bank account for dispensing cash and to carry out other financial and non-financial transactions as ATMs, irrespective of whether they do have the facility to accept cash/cheques deposit or not. Appellant has declared the impugned machine as ATM on the understanding as per Circular No. 41/2002 which clarified that “the office equipments referred to above are understood separately and have distinct functions. Cash dispensers are basically machines which can only dispense cash at the valid request of the customers of the bank while ATMs are more sophisticated machines which not only dispense cash but also perform other banking transactions like depositing cash, collecting cheques, bill payments, fund transfers, etc. - mere absence of one faction such as ‘deposit of cash/cheque’ would not be decisive to ascertain whether a machine is an ATM or a cash dispenser for the purpose of extending exemption. - Only to deny exemption under Notification which is available to ATM of Heading 8472.90, the HSN can’t be restrictively interpreted to construe that apart from the main function of dispersing cash, all the functions, as listed therein shall also necessarily be present simultaneously to construe a machine as an ATM. If the machine Procash 1500Xe is having the facilities such as cash dispencing, fund transfer, bill payment, balance enquiry, mini statements, pin change, etc. but not having the facility of cash/cheque deposit shall be termed as ATM. - Impugned order is set aside - Matter remanded back - Decided in favour of assessee.
|