Home Case Index All Cases Customs Customs + AT Customs - 2018 (3) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2018 (3) TMI 128 - AT - CustomsTransshipment of ship stores - Whether the appellants are required to discharge the customs duty on the transshipment of the ship stores from the vessel MSV Sundaram to SV Shivam belonging to the same owner? Held that: - A plane reading of the Sec.86 of the Customs Act,1962 reveals that it is not required that the ship stores at the time of transfer is necessarily be to another foreign going vessel only, but, on the contrary, it would suffice if the vessel later undertakes foreign voyage and the Ship stores transferred to it is consumed on board as per Sec.87 of the Customs Act,1962 - It is not in dispute that after necessary certification by the proper authorities, the new vessel SV Shivam commenced sailing on foreign voyage and there is no dispute of the fact that the ship stores transferred earlier had been used in the said vessel on board as prescribed under Section 87 of CA, 1962. Merely because as on the date of transfer of ship stores to the newly built vessel SV Shivam, which was not ready for voyage, the transfer of ship stores under Section 86 and later consumed on board as per Sec. 87, becomes incorrect and duty could be recovered on the ship stores, cannot be sustained. Appeal allowed - decided in favor of appellant.
|