2018 (7) TMI 1680 - AT - Customs

Classification of goods - Health Oxygen Equipment of model MR 930 of Morning Walker - whether classified under CTH 95069010 or CTH 90191020? - Held that - It is evident that the classification of the Morning exerciser has already been finalised by this Bench in the case of HILITE ELECTRICALS VERSUS COMMISSIONER OF CUSTOMS, CALCUTTA 1999 (11) TMI 231 - CEGAT, CALCUTTA - Department has not gone in appeal against this order and therefore, we are of the view that the same cannot be changed at this juncture particularly, when product has not undergone any change. Appeal dismissed - decided against Revenue.

Summary

Issues:
Classification of Health Oxygen Equipment under Chapter Heading CTH 90191020 or Chapter Heading 95069010.

Analysis:
The appeals were filed by the Revenue against the Order-in-Appeal passed by the Commissioner of Customs (Appeals) regarding the classification of the product "Health Oxygen Equipment of model MR 930 of Morning Walker." The Department contended that the product should be classified under Chapter Heading 95069010, while the Respondent argued for classification under CTH 90191020. The Department supported its stance by referring to the product as 'Health Oxygen equipment' marketed as 'Morning Walker' and cited import data from NIDB and Calcutta Port. On the other hand, the Respondent highlighted a previous decision by the Bench classifying similar goods under 9019.10 as a vibrating massager. The Respondent also pointed out that the impugned goods were correctly classifiable under Chapter 95069010, which carried a higher rate of basic Customs duty and had been placed under OGL. The Respondent relied on legal precedents emphasizing that for a change in classification, there must be changes in the product or circumstances, which were absent in this case.

The Tribunal considered the arguments and case records. It noted that a previous order by the Bench had finalized the classification of the product as a 'Morning exerciser' under Chapter Heading 90191020. Since the Department did not appeal against this order and the product had not undergone any changes, the Tribunal held that the classification could not be altered at this stage. Therefore, the Tribunal dismissed the departmental appeals, affirming the classification of the product under Chapter Heading 90191020 as a general-purpose exerciser. The decision was pronounced on 05/06/2018.