2012 (3) TMI 14 - AT - Central Excise

Classification of the parts and accessories of optical fibre cables under heading 9033 Revenue claiming it to be under heading 8544 Held that - In as much as the optical fibre cables fall under Chapter 90 as held in case of Optel Telecommunication Ltd (2005 - TMI - 53974 - CESTAT, Northern Bench, New Delhi), the parts would fall under Chapter 90.33 Decided in favor of assessee.

Summary

Issues involved: Correct classification of parts and accessories of optical fibre cables under heading 9033.00 or chapter 8544.00.

Analysis:

1. Dispute over classification: The dispute in the present appeal revolves around the proper classification of the parts and accessories of optical fibre cables. The appellants argue for the classification of joint-closure/box of optical fibre cables under heading 9033.00, while the authorities below have classified the same under chapter 8544.00.

2. Legal provisions: The relevant entries for classification are reproduced, with chapter 8544.00 covering insulated wire, cable, and optical fibre cables, and chapter 9033.00 covering parts and accessories for machines, appliances, instruments, or apparatus of Chapter 90.

3. Precedent and industry practice: The advocate for the appellants highlights that there was a prior dispute regarding the classification of optical fibre cables, with the industry claiming classification under Chapter 90 and the Revenue classifying them under Chapter 85. The Tribunal in a previous case held that optical fibre cables are correctly classifiable under Chapter 90, setting a precedent for such classification.

4. Tribunal's decision: After considering the arguments and legal provisions, the Tribunal determines that heading 9033.00 covers parts and accessories of machines, appliances, instruments, or apparatus of Chapter 90. Since optical fibre cables are classified under Chapter 90 based on the previous Tribunal decision, the parts and accessories would also fall under Chapter 90.33. Consequently, the Tribunal rules that the correct classification of the joint-closure/box of optical fibre cables should be under heading 9033.00, setting aside the impugned order and granting relief to the appellants.

5. Conclusion: The Tribunal's decision clarifies the classification of parts and accessories of optical fibre cables, aligning it with the classification of the cables themselves under Chapter 90. This judgment provides clarity on the correct classification under the relevant tariff headings, resolving the dispute in favor of the appellants based on legal precedent and interpretation of the applicable provisions.

This detailed analysis of the judgment provides a comprehensive overview of the issues involved and the Tribunal's decision regarding the correct classification of parts and accessories of optical fibre cables.