2008(12)LCX0116

In the Customs, Excise & Service Tax Appellate Tribunal, Ahmedabad

Smt. Archana Wadhwa, Member (Judicial) Shri B.S.V. Murthy, Member (Technical)

Modern Communication & Broadcast Sys. P. Ltd.

Versus

Commissioner of Customs, Kandla

Final Order Nos. A/14-17/WZB/Ahd/2009-CII dt. 15.12.2008 certified on 7.1.2009 in Appeal Nos. C/714 to 717/2005

Advocated By -

Shri H.D. Dave, Adv. for Appellant
Ms. M.I.J. Micheal, Jt. CDR for Respondent

Per B.S.V. Murthy :

In all the four appeals the issue involved is the same. The appellants have been denied the benefit of exemption Notification No. 21/02-Cus dated 01.3.2002 (Serial No.321) for the product "Dish Reflector" imported by them.


2. Heard both sides. Ld Advocate on behalf of the appellants submitted that there is no dispute about the classification of the product which has been accepted to be under the CETH 85299090. However, for convenience, relevant headings are reproduced as below:-

3. The relevant heading under which the exemption has been claimed is as under i.e.

"321 8529.90 90 The following goods, namely :-

(i) Parts (including populated PCBs) of digital still image video cameras

(ii) Parts (excluding populated PCBs) of transmission apparatus other than apparatus for radio-broadcasting or Television and parts (excluding populated PCB's) of transmission apparatus"


4. It is not disputed that under the heading serial No. 321 the parts of transmission apparatus incorporating reception apparatus are covered. Ld. Advocate submits that this reflector imported by them answered to the description of parts of transmission incorporating reception apparatus. His contention is that dish antenna and their parts which is the item imported by them is clearly covered in 8529 of the schedule and the rejection of claim on the ground that Antenna is not a part of item covered under heading 8525 is not correct. Heading 8525 covers transmission apparatus for broadcasting of television whether or not incorporating the reception apparatus. Ld. Advocate pointed out that antenna system is covered under satellite ground communication equipment which shows that basically it was used by them for transmission and reception. Further, he also relied upon technical literature in "Digital Satellite Communication" Second Edition by Tri. T. Ha, published by McGraw-Hill Publishing Company. He also submitted that the literature also supports the explanation of function of Dish Reflector as - "A Dish reflector has functions of an antenna in association with a LNBF for receiving DTH Signals. The reflector also works as transmission apparatus for two way communication, whenever a RFT is in cooperated. Thus it is a part of transmission apparatus incorporating reception apparatus falling under chapter heading 85.25.20.92. Other satellite Communication Equipment." His submission is that in view of the above, item imported by them is eligible for exemption under the notification. Ld. JCDR on the other hand submits that the product is only meant for reception and she also submits that it cannot be considered as a part of transmission apparatus incorporating reception apparatus.


5. We have considered the submissions made by both the sides. Exemption has been denied on the ground that Antenna is not a part of the machine covered in 85299090, even if the same is classifiable under heading 8525.20. The question is whether the reflector imported by the appellant can be considered as part of the transmission apparatus incorporating reception apparatus. Ld. Advocate submits that antenna system covered in satellite communication equipment and satellite communication equipment perform both transmission and reception. Reflector is a part of antenna. We find considerable force in the arguments advanced by the Ld. Advocate. We also find that the technical literature submitted by the appellant is also relevant to support his contention. Since antenna is required both for transmission and reception and reflector is a part of the same, we hold that the same is eligible for exemption claimed by the appellant under serial No. 321 of Notfn. No. 21/02-Cus. Accordingly, the appeals are allowed with consequential relief to the appellant.

Dictated & Pronounced in the Court.

Equivalent 2009 (091) RLT 0854 (CESTAT-Ahmd.)

Equivalent 2009 (245) ELT 0199 (Tri. - Ahmd.)