2005 (98) ECC 301 (Tri)

CUSTOMS, EXCISE & SERVICE TAX APPELLATE TRIBUNAL

New Delhi -- Bench-NB(A)

Hon'ble Justice (Mrs.) K.K. Usha, President and C.N.B. Nair, Member (T)

BE Office Automation & Bhagwan Electro Photocopier

Versus

CC, Mumbai

Appeal Nos. C/221 & 226/03-NB(A)

[Arising out of Order-in-Appeal No. 159 to 167/03-MCH dt. 31.3.2003 passed by the Commissioner of Customs (Appeals), Mumbai]

Final Order No. 563-564/04-NB(A), dated 8.6.2004,
Certified on 21.6.2004

Confiscation (Customs)

Second hand photocopier machines -- Restriction in regard to import of consumer goods -- Any capital goods whether for production or service were eligible for unrestricted import -- Item in question cannot be considered consumer goods at all -- Action taken by the lower authorities in confiscating the goods cannot be justified.

[Para 2]

Appeal allowed

PRESENT :

Shri K.K. Anand, Adv. for the appellants.

Shri S.M. Tata, SDR for the respondent.

Per : C.N.B. Nair

The challenge in these two appeals is to the confiscation of second hand photocopier machines imported by the appellants. The appellants claimed that the goods were eligible for unrestricted import as "capital goods" for rendering service. The lower authorities did not accept the claim and held that the appellants required import licenses. In the appeal the contention of the appellant is that photocopier machine is office equipment used for rendering the service. The learned Counsel has contended that in any case, the item cannot be treated as consumer goods, which were restricted for import.

2. We have perused the records and heard the learned DR also. The restriction during the relevant period was in regard to import of consumer goods. Any capital goods whether for production or service were eligible for unrestricted import. The item in question cannot be considered consumer goods at all. In these circumstances, the action taken by the lower authorities in confiscating the goods can not be justified. Therefore, the impugned order is set aside and the appeals are allowed. Fines and penalties paid by the appellants shall be returned to them immediately.

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