TMI Blog2015 (10) TMI 2392X X X X Extracts X X X X X X X X Extracts X X X X ..... in favour of the assessee. - Appeal No. C/41006/2012 - Final Order No. 41362/2015 - Dated:- 8-10-2015 - Shri R. Periasami, Technical Member And Shri P. K. Choudhary, Judicial Member For the Appellant : Shri M. Rammohan Rao, DC (AR) For the Respondent : Shri C. Manickam, Advocate Shri Ajay Kumar Gupta, Consultant ORDER Per R. Periasami Revenue filed this appeal against Order-in-Appeal dated passed by the learned Commissioner (Appeals). 2. The brief facts of the case are that the respondents filed 7 Bills of Entry for clearance of goods declared as supply of equipment for continuous annealing line / galvanizing line for cold rolling mill classifying the goods under CTH 84559000 and claimed clearance under ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... goods not applicable under SHIS scheme. The definition of capital goods given under para 9.1.2 of the FTP is only for import under EPCG scheme and not related to clearances under SHIS scheme. Customs has to classify the goods as per the description presented at the time of clearance of the goods and they are rightly classified under the respective chapters. Once the goods are not capital goods, SHIS scheme is not applicable. She relied on the following decisions:- (a) IVRCL Infrastructure and Projects Ltd. Vs CC Chennai 2015-TIOL-73-SC-CUS. (b) Kirloskar Pneumatic Co. Ltd. Vs CC Bombay 1997 (90) ELT 428 (c) CC New Delhi Vs Sony India Ltd. 2008 (231) ELT 385 (SC) He also submits that entitlement of CENVAT credit is different for ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... are parts but they are parts of capital goods covered under the purchase order. Each invoice refers to the contract and purchase order. He also submits that these goods are specific tailor made for only this plant. These are not parts of general uses and essential and integral part of capital goods which they have posed to set up. He further submits that due to the logistics these goods have to be imported in a phased manner through various shipments. He also submits that after importation of these goods they have been used in setting up of plant and machinery and they have also submitted certificate to the central excise authority for installation certification in compliance of the EPCG licence. He relied on para 9 of Order-in-Appeal. He f ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ion No.104/2009 dt. 11.9.2009. The adjudicating authority has denied the benefit of Customs Notification pertaining to SHIS Scheme for clearance of goods covered under 7 Bills of Entry imported and cleared by the respondent and also ordered for classifying the goods under respective chapter headings instead of capital goods under Chapter 84. The LAA in his impugned order has set aside the OIO and held the goods are capital goods and allowed the SHIS benefit under the said notification and allowed respondent's appeal. Revenue in the grounds of appeal seeks to set aside the impugned order and pleads to restore the OIO contending that the goods imported by the respondents are not capital goods and not covered under SHIS Scheme. On a peru ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... District Bellary, Karnataka. On a perusal of the Article 4.0 of the Agreement, the consideration of the entire plant and machinery has been quoted single price which is known as Contract Price . We also find that the entire contract is also covered under EPCG licence and majority of the goods were cleared as capital goods under EPCG. The Revenue's contention is that these are only individual parts and articles consisting of bolts, nuts etc. and they cannot be considered as 'capital goods' and same is not covered under SHIS Scheme. 8. In this regard, we find the Notification No.104/09-Cus. dt. 14.9.2009 clearly allows exemption of capital goods imported into India against Duty Credit Scrip issued under SHIS Scheme. As per ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 39;capital goods' in EPCG scheme and not capital goods under SHIS Scheme. Revenue's contention is that the goods imported are general purpose items i.e. Bolts Nuts is not justified. Obviously, continuous annealing line has various sections as detailed in the impugned order. After assembly, it becomes a single Annealing Line. It is not the case of the department that respondent has placed orders for only spares or bolt and nuts and claimed as 'capital goods' under SHIS Scheme. 9. Revenue's relying Hon'ble Supreme Court decision in the case of Sony India (supra) which relates to import of components of Colour TVs in CKD condition and the same cannot be made applicable to this case. The Hon'ble Supreme Court in ..... X X X X Extracts X X X X X X X X Extracts X X X X
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