2014 (3) TMI 787 - AT - Central Excise

Classification of goods - Classification under 8479 or 8448 - (1) Wire mounting equipment (2) Roll-O-Dress - lickering mounting machine; and (3) Flat mounting machine. - Held that - All the three machines would fall for classification under Tariff Heading 84.79 as machines having independent functions . As regards the machine at S.No. 3, the Tribunal has held 2004 (6) TMI 363 - CESTAT, CHENNAI will fall for classification as a machine having an independent function of replacing worn out card clothing on carding cylinder , classifiable under Heading 84.79. The other machines also have independent/individual function and are thus classifiable under Chapter Heading 8479.00. We, therefore, set aside the finding of the Commissioner (Appeals) that the machines do not have any independent functions but are textile machinery used in the carding room and cannot be used separately, and, therefore, merit classification under Chapter Heading 8448.00 - all machines in dispute are to be classified under Chapter Heading 8479.00 - Decided in favour of Revenue.

Summary

Issues Involved: Classification of machines under Tariff Heading 84.79

Analysis:

Issue 1: Classification of Wire Mounting Equipment
The Wire mounting equipment is used to mount a metallic wire on the cylinder and doffer of the carding machine with uniform tension. It has a rigid construction enabling quick and safe mounting, allowing the carding machine to achieve its objectives. The Revenue argued for classification under Tariff Heading 84.79 as machines with independent functions. The Tribunal found that the equipment falls under Chapter Heading 8479.00 due to its independent function of replacing worn-out card clothing, aligning with a previous order. The decision set aside the Commissioner's view that the machines were textile machinery for the carding room, leading to the classification under Chapter Heading 8448.00.

Issue 2: Classification of Roll-O-Dress - Lickering Mounting Machine
The Roll-O-Dress machine serves to remove worn-out lickering wire from the roller and mount new wire, followed by grinding and polishing. This process enables the lickering roller of the carding machine to achieve its objectives. The machine was also classified under Chapter Heading 8479.00, similar to the Wire mounting equipment, due to its independent function aligning with the Revenue's argument.

Issue 3: Classification of Flat Mounting Machine
The Flat mounting machine is used to mount flat tops on the bare flats of the carding machine, enabling the flat tops to fulfill the carding objectives. The Tribunal determined that this machine also falls under Chapter Heading 8479.00, in line with the independent function criterion for classification. The decision overturned the Commissioner's classification under Chapter Heading 8448.00, emphasizing the individual functions of the machines.

In conclusion, the Tribunal classified all disputed machines under Chapter Heading 8479.00, supporting the Revenue's argument for machines with independent functions. The decision overturned the previous classification by the Commissioner and allowed the appeal in favor of the classification under Tariff Heading 84.79. The operative part of the order was pronounced on 1-7-2011, finalizing the classification of the machines as per the Tribunal's analysis.