INDIAN AIRLINES Vs. COMMISSIONER OF CUSTOMS, COCHIN/BANGALORE

JUDGEMENT

(1.) THE following appeals filed by M/s. Indian Airlines against the Revenue in respect of the OIAs indicated are taken up for disposal, as the issues involved are common.

(2.) M /s. Indian Airlines normally function as Domestic Airlines. However, they have also International Flights. When the Aircraft returns to an airport in India and its international run is terminated, the Revenue demands Customs Duty on the fuel (ATF) remaining in the aircraft. The appellants challenge the levy of Customs Duty on the ATF onboard the aircraft. Alternatively, they claim exemption for ATF vide Notification No. 151/94, dated 13 -7 -1994 and similar Notification claiming that ATF is same as Superior Kerosene. In the impugned Orders -in -Appeal, the demand of duty in the original orders have been confirmed. Further, exemption to ATF has also been denied.

(3.) S /Shri A.N. Jayaram, learned Senior Advocate, Manoj Arora, learned Advocate and Sanjay Gupta, learned Advocate appeared for the appellants and Shri L. Narasimha Murthy, learned SDR appeared for the respondents.