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2020 (2) TMI 1432 - AT - CustomsBenefit of exemption Notification 12/2012-Cus., dated 17-3-2012, Sl. No. 399(A) - Import of Power Tiller - respondent had claimed the benefit of Notification No. 12/2012-Cus., dated 17-3-2012 under Sl. No. 399(A) which is available to Rotary Tiller/Weeder - Confiscation - redemption fine - penalty - HELD THAT:- The Power Tiller, which in the form of pedestrian controlled tractor, and the Rotary Tiller, which are equipment to till the soil. Tractors including pedestrian controlled tractors or power tiller are classifiable under Customs Tariff Heading 8701. Rotary tillers are classifiable under Chapter Heading 84 as agriculture equipment. The Rotary tiller is specifically covered under Customs Tariff Heading 8432. As there was a confusion among the some field formations, this matter was discussed at length in C.B.E. & C.’s Circular. No. 45/2001-Customs dated 7th August, 2001. We have gone through the letter/memo of the Ministry of Agriculture relied upon by the first appellate authority in the impugned order. This only mentions that the benefit of Notification No. 12/2012-Cus. available to Rotary Tiller, may also be extended to power tiller and requested the Under Secretary of their own Department, to take up the matter with the Finance Ministry in regard to eligibility of exemption notification or classification. We also note that the Ministry of Agriculture is not expert in classification of goods under the Customs Act, valuation, determination of duty or availability of benefit of exemption notification. They have rightly applied their mind from their point of view and felt that the exemption notification must be available to power tiller also. This view of the Ministry of Agriculture, cannot determine the eligibility or otherwise of the exemption notification to power tiller. It must be determined solely based on the way exemption notification as it is drafted. A bare perusal of the exemption notification, shows that it is available, inter alia, to rotary tiller/weeder. It does not suggest directly or indirectly that it is available to power tillers also - Therefore, in our considered view, the benefit of exemption notification is not available to the power tillers imported by the appellant. Confiscation - redemption fine - penalty - HELD THAT:- Considering that the importers could have entertained the wrong belief that the exemption Notification is available to them and made an ineligible claim, we do not find sufficient grounds to uphold the confiscation of the goods under Section 111(m) or imposition of penalty, fine upon the respondent. Appeal allowed in part.
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