The Rajasthan High Court directed the adjudicating authority to examine the customs department’s dual classification of the Aerosol Valves under different Customs Tariff Head.
The petitioner, Apu Packaging India Pvt. Ltd filed a writ petition seeking relief to honour their own investigation conducted twice and adhere to the classification determined on 13.03.2019.
Get a Copy of Supreme Court Judgments on GST with Free E-Book Access, Click here.
Additionally, the petitioner prayed to issue a restraining order against the respondents from requiring a bank guarantee for the import of “Aerosol Valves and Aerosol Actuators” and to release the bank guarantee already provided by the petitioner.
The petitioner’s counsel argued that the customs department had been inconsistent in classifying the goods. Initially, an order dated 13.03.2019 classified Aerosol Valves under Customs Tariff Heading 8481, but the department later started issuing bills under Heading 8424 based on a new investigation. Despite numerous representations from the petitioner, no resolution was reached, leading to the filing of this petition.
Get a Copy of Supreme Court Judgments on GST with Free E-Book Access, Click here.
The bench of Justice Ashutosh Kumar and Justice Manindra Mohan Srivatsava noted that the issue of classification should be addressed at the appropriate stage of adjudication. Thus, the court left this matter to be examined by the adjudicating authority at appropriate stage particularly if the petitioner disputes the validity of the customs duty demand.
The high Court affirmed that the petitioner can challenge the final order before the appropriate adjudicating authority. The petition was disposed of accordingly. Mr. Abhimanyu Singh Yaduvanshi appeared for the petitioner.
Subscribe Taxscan Premium to view the JudgmentSupport our journalism by subscribing to Taxscan premium. Follow us on Telegram for quick updates
