The CESTAT Delhi determined that multifunction protection devices qualify for customs exemption as they maintain their essential character as relays. Ancillary features do not alter this classification.
Multifunction Devices Retaining Essential Character of Relays Eligible for Customs Exemption: CESTAT Delhi
In a recent ruling, the CESTAT Delhi held that multifunction protection devices that primarily function as relays are eligible for customs exemption. The Tribunal affirmed that additional features meant for monitoring and recording do not change the devices' classification.
The case revolved around a dispute on whether these multifunction devices could be categorized differently based on their additional functionalities. The Tribunal concluded that since their principal function is protection and control in electrical systems, they retain their classification as relays.
This determination has significant implications for manufacturers and importers of similar devices, as it clarifies that the presence of ancillary features does not detract from the main purpose of the product for customs classification. Practitioners should take note of this ruling when advising clients on import duty matters related to multifunctional devices.
Citations
- CESTAT Delhi (2026)
