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2017 (10) TMI 159 - AT - CustomsAdditional Duty of Customs (ADC) - Import of Nylon Filament Yarn - N/N. 29/2004-CE dated 09.07.2004, as amended - Department took the view that the imported goods do not satisfy the conditionalities of the said notification and hence the concessional rate of duty would not be available to them - whether the goods imported by the appellants will fall under the beneficial impact of Central Excise exemption N/N. 29/04-CE, Sl.No. 5A for the purpose of discharging additional duty of customs (CVD)? Held that: - Additional duty of customs, also known as countervailing duty (CVD) is imposed to provide a level playing field for the indigenous goods who have to bear the brunt of local taxes, in particular central excise duty levied on manufacture of identical goods in India. Also, goods imported into India in most cases benefit from export incentives like duty drawback in the concerned country of export. The important factum, however, is that the additional duty of customs has to be equal to the excise duty for the time being leviable - Honble Supreme Court in the case of Thermax Pvt. Ltd. Vs. Collector of Customs [1992 (8) TMI 156 - SUPREME COURT OF INDIA], held that CVD will be equal to excise duty for the time being leviable on a like article if produced or manufacture in India. The Honble Apex Court went on to further observe that we have to forget that the goods are imported and imagine that the importer had manufactured the goods in India and determine the amount of excise duty that he would have been called to pay in that event. In the case of the present appellants themselves held that for additional duty, actual manufacture or production of a like article was not necessary and for that quantification of additional duty imported article has to be imagined as to be manufactured or produced in India and then to see what excise duty was leviable there on. Appeal dismissed - decided against appellant.
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