1995 (12) TMI 82 - SC - Customs

Whether assessee liabl for notofication No. 161, dated 8-6-1983? Whether printing and publishing of newspapers and news-magazines imported called printing plates fell under Chapter 37.01/08 of the Customs Tariff or under Chapter 84 - Chapter Heading 84.34? Held that - There is no material placed before us to show that the goods referred to in the Notification No. 161 are the same goods as are concerned herein. There is equally no material to show that the respondents-assessees have taken advantage of the said Notification. Coming to the question of classification, Chapter Heading 37.01/08 speaks inter alia of photographic plates and film sensitised whether or not exposed or developed. As against this Chapter Heading 84.34 (which is relied upon by the respondents-assessees) speaks of machinery apparatus and accessories for type founding or type-setting; machinery, other than the machine tools of Heading printing blocks, plates or cylinders; printing type, impressed flongs and matrices, printing blocks, plates and cylinders; blocks, plates cylinders and lithographic stones, prepared for printing purposes (for example planed, grained or polished) . Actually Chapter 84 deals with machinery, mechanical appliances etc. The agreed report of the Team appointed by the Tribunal indicates clearly that these plates are meant for and are used for printing purposes. Whether we look at the end use or to the character and nature of the goods, they are in the main plates employed in the printing of newspaper/magazines. The Tribunal has opined, on the basis of the above material that Toyobo photo-sensitive nylon printing plates are exclusively used in printing of newspaper and cannot be called photographic plates within the meaning of Chapter 37. They placed thereunder Chapter Heading 84.34. We are unable to say that the conclusion arrived at by the Tribunal is not correct. It may not also be entirely correct to say that in no case can the end use or function of the goods is relevant on the question of classification. Appeal dismissed.

Summary

Issues: Classification of imported goods for customs tariff purposes.

In the judgment delivered by the Supreme Court of India, the case involved a dispute regarding the classification of imported goods used for printing newspapers and news-magazines. The Assistant Collector classified the goods under Chapter 37.01/08 of the Customs Tariff, while the respondents argued that they should be classified under Chapter 84 - Chapter Heading 84.34. The Tribunal eventually allowed the appeals of the respondents, agreeing that the goods should be classified under Chapter 84. The Tribunal based its decision on the nature and character of the goods, which were found to be exclusively used for printing purposes. The Tribunal also noted that in commercial terms, the goods were known as printing plates and not photographic plates or films. The Supreme Court upheld the Tribunal's decision, emphasizing that the end use and function of the goods are relevant in determining their classification, as demonstrated in previous judgments. The Court concluded that the goods in question were rightly classified under Chapter 84.

In a separate issue addressed in Civil Appeal Nos. 238-40 of 1991, the classification of "Developing Machines" was disputed, with the Revenue seeking classification under Chapter 19, and the Tribunal placing them under Chapter 94. The Court affirmed the Tribunal's classification without any specific arguments presented on this matter.

Additionally, in Civil Appeal Nos. 670-676 of 1987, the Tribunal had classified R.C. Paper and Graphic Art Films under Chapter 37 instead of Chapter 84. The Supreme Court upheld the Tribunal's decision, stating that based on the nature and character of the goods, they were correctly classified under Chapter 37. No new evidence was presented to warrant a different classification. Therefore, these appeals were also dismissed by the Court.