#Customs, Excise and Service Tax Law

CESTAT Hyderabad denied customs duty exemption to Durgabai Deshmukh Hospital for failing to fulfill mandatory conditions: providing free treatment to 40% of outpatients and reserving 10% of beds for low-income patients. The ruling reinforces that exemption benefits are strictly conditional, and non-compliance triggers retrospective duty demand and confiscation - a critical warning for charitable hospitals relying on duty waivers.

CESTAT Chennai rules that imported cement in 50kg bags bearing MRP is eligible for concessional CVD exemption under Clause 1C if demonstrably intended for industrial or institutional use, not retail sale. The decision clarifies that packaging alone cannot override documented end-use, shielding bulk industrial buyers from arbitrary duty demands based on form rather than function.

CESTAT Chennai rules that when customs authorities have consistently accepted a tariff classification over years, the department cannot later allege suppression to extend the limitation period for duty demand. This protects importers and logistics firms from retrospective penalties when classifications were openly and repeatedly approved, reinforcing legal certainty in trade compliance.