1987 (10) TMI 248 - AT - Customs

Summary

Issues involved:
The issue in this case is whether Resistors (Resistance Coil) imported by the respondents are entitled to the benefit of Notification No. 172-Cus/77, with the main contention being whether the imported goods are considered resistors or parts of Potentiometer.

Summary:

Classification of Goods:
The ld. SDR argued that resistors are excluded from the concessional rate and referred to relevant classification notes. The Appellate Collector held that even if the goods were parts of Potentiometer, they still qualified as resistors. However, the ld. Representative of the Appellants contended that the imported goods, lacking leads and resistance values, were not resistors but only parts of resistors.

Interpretation of Goods:
Upon inspection of a sample, it was noted that the imported goods did not have leads, which had to be added by the importers. The Tribunal rejected the application of certain interpretative rules and agreed with the respondents that the goods were not resistors but components that eventually form part of a potentiometer. As resistors were specifically excluded from the concessional rates under the Notification, the appeal was dismissed.

This judgment clarifies the distinction between resistors and components of resistors, emphasizing the importance of leads and resistance values in determining the classification of imported goods for duty concessions.