The Kolkata Bench of Customs, Excise and Service Tax Appellate Tribunal (CESTAT) has held that 3.5% customs duty is applicable on import of empty cylinders from China for ambulance services, under Janani Shishu Suraksha Karyakram (JSSK).
The Bench of R. Muralidhar (Judicial Member) and K. Anpazhakan (Technical Member) has observed that the medical oxygen cylinders to be fitted in ambulances are excluded from the purview of Gas Cylinder Rules, 2004 (GCR, 2004) or GCR, 2016 or the jurisdiction of the Explosives Act, 1884 or licensing by the Chief Controller of Explosives. Accordingly, we hold that GCR, 2004/GCR 2016 are not applicable for the impugned goods imported by the appellant, as the said Rules have specifically exempted imported gas cylinders which are to be fitted in ambulances/special transport.
The appellant filed a home consumption Bill of Entry for import of 3,100 numbers of empty cylinders along with valve and 500 numbers of cylinder accessories from China. The goods imported were to be used in 108 / 102 Ambulance services, under the Janani Shishu Suraksha Karyakram (JSSK) Scheme, for 24*7 free transportation of expecting mothers and sick infants (up to one year from birth) through toll-free centralized call centres.
The Assessing Officer was of the opinion that the Appellant had wrongly classified the impugned goods under Customs Tariff Item No. 90189099 as “instruments” or “appliances” or “apparatus” used in medical, surgical, dental or veterinary sciences, chargeable to BCD @ of 3.5%, CVD @6%, Cess @3% and SAD @4%.
The Assessing Officer was of the view that the goods are rightly classifiable under Customs Tariff Item No. 73110030 as “containers of any capacity used for transport or storage of compressed gas or liquefied gas” chargeable to BCD @ 10%, CVD@12.5%, Cess @3% and SAD @4%.
The CESTAT held that goods imported by the appellant to be fitted in ambulances are excluded from the purview of GCR, 2004/GCR, 2016 or the jurisdiction of the Explosives Act, 1884 or licensing by the Chief Controller of Explosives. Also, there is no violation of BIS certification. Thus, the goods are not liable for confiscation and accordingly, the tribunal set aside the confiscation of the goods.
Case Details
Case Title: M/s. GVK Emergency Management Research Institute Versus Commissioner of Customs (Port)
Case No.: Customs Appeal No. 75476 of 2024
Date: 17.12.2024
Counsel For Appellant: K. Bindusaran
Counsel For Respondent: Subrata Debnath
