Exemption of customs duty and sale tax On-Highway Truck/Off-Highway dump truck- Plant mentioned in SRO 484(1)/92 dated 14.05.1992 bringing the Off- Highway dump trucks within its ambit.
On-Highway truck is meant for long hauls, it also has a bunk in its cabin for its use as driver's sleeping area. In contrast to such utility, the Off-Highway dump truck, as decided by us in the case of Collector of Customs Vs. D.G. Khan Cement Company Limited is specifically designed for use in difficult terrains where the activities of mining, quarrying or construction of big buildings are carried out. Purely on account of the specific design and utility of Off-Highway dump trucks in the industrial process of cement production that the same were brought within the ambit of plant.
Respondent companies were not entitled to claim exemption under SRO 575(1)/2006 dated 5.6.2006 and SRO 530(1)/2005 dated 6.6.2005 on Volvo FM 400 trucks that were imported by them as the same were found to be On-Highway trucks and not Off-Highway dump trucks. The customs authorities shall recover the customs duties and Sales Tax on all eighteen Volvo FM 400 trucks imported. Collector of Customs =VS= M/s Best Way Cement, [1 LM (SC) 639]
