CUSTOMS
Delhi High Court Flags Customs' Practice Of Mentioning Communicating Officer's Name In Order Instead Of Deciding Officer
The Delhi High Court has disapproved of the Customs Department mentioning the name of such officer in the order who communicated it to the party, instead of the officer who actually passed the order.A division bench of Justices Prathiba M. Singh and Shail Jain observed,“Orders which are passed have to be signed by the Officials who pass the said orders. The communication of the same can be done by anyone else but the name and designation of the Official who is actually passing the order has to...
Customs | Attending Weddings Can't Justify Indian Origin Foreigner Bringing Half Kilogram Gold Jewellery: Delhi High Court
The Delhi High Court has made it clear that under the garb of attending weddings where wearing gold jewellery is a common affair, a foreigner of Indian origin cannot be permitted to bring half kg gold jewellery to India.A division bench of Justices Prathiba M. Singh and Renu Bhatnagar further added that there was no explanation for the Petitioner, a US citizen, to bring 17 high value mobile phones (iPhones) to India and walk through the green channel.“A total of 17 mobile phones were brought by...
Export Held Up Due To Conflicting Lab Reports: Delhi High Court Asks Customs To Decide Pan Masala Exporter's Plea
The Delhi High Court has asked the Customs authorities to consider releasing the bank guarantee of a city-based pan masala exporter, forfeited after conflicting lab reports about adulteration of its export products with tobacco.A division bench of Justices Prathiba M. Singh and Shail Jain observed that when no objections were found in the first lab test report (CRCL), “the circumstances which warranted the issuance of the second CRCL report are completely unknown and it does not specify as to...
Customs Act | Gujarat High Court Reiterates Mandatory Cross-Examination Under Section 138B, Quashes Penalty Order
The Gujarat High Court has held that reliance on statements of witnesses without allowing the manufacturer opportunity to cross‑examine, while ignoring those statements that testified in favour of the manufacturer, violates principles of natural justice. In a judgment delivered on November 25, 2025 Justice A.S. Supehia and Justice Pranav Trivedi quashed the penalty order and culled-out 8 quintessential features of Section 138B of the Customs Act, 1962, particularly, clauses (a ) and (b)...
Delhi HC To Hear IndiGo's Plea For ₹900+ Crore IGST & Customs Duty Refund On Re-Imported Aircraft Parts; Customs Alleges No Double Levy
The Delhi High Court is set to hear a plea by Interglobe Aviation Limited (Indigo) over denial of an estimated refund of over Rs. 900 crores of Integrated Goods and Services Tax (IGST) and Customs duty on re-imported aircraft parts that were repaired abroad. The Customs Writ Petition filed on December 11, 2025 was mentioned before a Bench comprising Justice Prathiba M. Singh and Justice Shail Jain. As a common practice in the Aviation sector, aircraft components overseas are sent for...
Delhi High Court Flags Validity Of Reports In IGST Refund Denial On Export Of Mouth Fresheners/Pan Masala; Directs Expeditious Examination
The Delhi High Court in a matter involving export of mouth freshner/pan masala, where two differing Test Reports were issued and refund of Integrated Goods and Services Tax (IGST) was denied, has flagged validity of Central Revenues Control Laboratory (CRCL) test reports. Justice Prathiba M. Singh and Justice Shail Jain were hearing writ petitions filed by Exporters/Petitioners of tobacco products including pan masala and mouth fresheners who had challenged the letter issued by Customs...
Customs | Goods Cannot Be Confiscated Solely On Local Market Survey/Opinion Without Proof Of Smuggling: CESTAT Allahabad
The Allahabad Bench of Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) held that goods cannot be confiscated merely on the basis of a local market survey or opinion in the absence of proof of smuggling. The Tribunal observed that the burden to prove that the goods are smuggled lies on the department.P.K. Choudhary (Judicial Member) stated that the Department has not discharged its burden. Since betel nuts are also produced in India. In the absence of any evidence that confiscated...
Customs | Knitted Ready-Made Garments Fall Under CTH 6102, 10% Drawback Rate Applicable: CESTAT Kolkata
The Kolkata Bench of Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has stated that knitted ready-made garments, such as Gents' shirts, Ladies' dresses, and coats, are classifiable under CTH 6102; hence, the exporters are entitled to a 10% drawback rate subject to a maximum of Rs. 45/- per piece. R. Muralidhar (Judicial Member) and K. Anpazhakan (Technical Member) stated that from the descriptions of the goods as contained in the concerned shipping bills, it can be...
Customs Act | 'Prohibition Includes Restriction': CESTAT Chennai Holds S.111(d) Covers Both Complete & Partial Restricted Imports
The Chennai Bench of Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) held that under Section 111(d) of the Customs Act, the term 'prohibition' includes both complete and partial restrictions under the Foreign Trade Policy. Hence, restricted goods imported without fulfilling mandatory conditions are treated as prohibited, which attracts confiscation and a penalty. Section 111(d) of the Customs Act, 1962, makes goods liable for confiscation if they are imported, or attempted...
Customs Brokers Regulations | Broker Cannot Be Penalised Solely For Exporter's Misdeclaration: CESTAT Principal Bench
The Customs, Excise & Service Tax Appellate Tribunal (CESTAT), Principal Bench, New Delhi, has set aside the revocation of a Customs Broker licence, holding that mis-declaration of goods by the exporter, by itself, does not establish violation of obligations under the Customs Broker Licensing Regulations (CBLR), 2018. A Bench comprising Justice Dilip Gupta (President) and P.V. Subba Rao (Member – Technical) allowed the appeal filed by the assesse, M/s Silver Line Global Freight Pvt....
Customs | Direct Reliance On NIDB Data For Re-Assessment Of Import Value Not Permissible: CESTAT Kolkata
The Kolkata Bench of Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has stated that Customs cannot directly rely on NIDB (National Import Database) data to enhance import value. R. Muralidhar (Judicial Member) and K. Anpazhakan (Technical Member) noted that the adjudicating authority straightaway has re-determined the value on the basis of NIDB data retrieved, indicating the Bill of Entry and the description of the goods, which is legally not maintainable. In the...
Separate Proceedings Under Customs Act Not Permissible Once CBLR Proceedings Are Initiated: CESTAT Kolkata
The Kolkata Bench of Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has stated that separate proceedings under the Customs Act are not permissible once CBLR (Customs Brokers Licensing Regulations, 2018) proceedings are initiated. R. Muralidhar (Judicial Member) and K. Anpazhakan (Technical Member) opined that once separate proceedings have been initiated against the assessee under CBLR, 2018, for violation of the provisions of the said Regulations, no separate penalty is...