TMI Blog2018 (2) TMI 1135X X X X Extracts X X X X X X X X Extracts X X X X ..... e Tribunal in the case of M/s. Kubota Agricultural Machinery India Pvt. Ltd. [2017 (6) TMI 565 - CESTAT CHENNAI], where Decision in the case of Vazir Sultan Tobacco Co. Ltd. [1996 (2) TMI 138 - SUPREME COURT OF INDIA], followed, where it was held that nil rate is also an appropriate duty - refund allowed - appeal allowed - decided in favor of appellant. - C/41489-41490/2017 - 43119-43120/2017 - D ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... he Customs Act to keep balance the sales tax, VAT, local tax, which would be leviable on the articles imported if the said goods are sold. While introducing the levy of SAD, the legislative intention created was to provide a level playing field to the domestic industries and was meant to counter balance the imposition of local taxes on domestically procured goods. Notification No.102/2007-Cus. dat ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... in the case of M/s. Kubota Agricultural Machinery India Pvt Ltd. and M/s. Acer India Pvt. Ltd. Vs. CC, Chennai - 2017 (6) TMI 565-CESTAT-CHENNAI. 3. Ld. AR, appearing on behalf of the Revenue reiterated the findings in the impugned order. 4. Heard both sides. 5. We find that the issue whether the appellants are eligible for refund when the goods are exempted from levy of sales ta ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... larified as under : 5.3 The exemption contained in the said notification envisages that the importer shall file a refund claim for 4% CVD ('said additional duty of Customs') paid on imported goods and shall pay on sale of the said goods appropriate Sales Tax or VAT as the case may be . Hence, it is clear that there is no stipulation in the notification that the exemption is available ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... words what is required in terms of the said notification is payment of appropriate sales tax/ VAT regardless of the rate thereof. It logically follows that if the appropriate rate of sales tax/ VAT was NIL then the appropriate sales tax/ VAT paid will also be NIL. 6. Following the same, we hold that the rejection of refund is unjustified. The appeal is allowed with consequential benefits to t ..... X X X X Extracts X X X X X X X X Extracts X X X X
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