2005 (11) TMI 336 - AT - Central Excise

Summary

Issues:
Classification of 'Condensing Unit' under 8418.10 by the assessee versus Revenue's claim for classification under 8415.00.

Classification Issue:
The issue in this appeal before the Appellate Tribunal CESTAT, MUMBAI was the classification of a 'Condensing Unit.' The assessee contended that it should be classified under 8418.10, while the Revenue argued for classification under 8415.00. The Revenue relied on HSN notes specifying that equipment under heading 8418 are main machines/assemblies for the production of low temperatures in a continuous cycle of operations. However, the Tribunal noted that there was no evidence of the entity being equipped with a blower, which is a requirement under heading 8415. The notes under heading 8415 state that the heading applies only to machines equipped with a motor-driven fan or blower, designed to change temperature and humidity, and presented together. As the 'Condensing Unit' did not meet these criteria, the Tribunal concluded that Revenue's classification under 8415.00 could not be upheld.

Decision:
The Appellate Tribunal, after considering the arguments presented, rejected the appeal. The Tribunal's decision was based on the lack of a blower in the 'Condensing Unit,' which was a crucial factor for classification under heading 8415.00. Therefore, the classification as advocated by the Revenue was deemed invalid, leading to the dismissal of the appeal. The judgment was pronounced in court, finalizing the decision on the classification issue at hand.