1994 (9) TMI 164 - AT - Central Excise

Summary

Issues:
Interpretation of exemption notification for tyres of specific specifications under two different serial numbers.

Analysis:
The appeal was filed by the Revenue challenging the order of the Collector (Appeals) regarding the entitlement of exemption under a specific notification for tyres of the specification 6.70-15. The dispute was whether the tyres fell under Serial No. 2(ii) for Saloon cars or Serial No. 3B(i) for motor vehicles other than Saloon cars. The department argued that the tyres should be classified under Serial No. 3B(i) as they were meant for light motor vehicles, not Saloon cars, based on technical data indicating the tyres' use for light commercial vehicles.

The respondents contended that the tyres should be classified under Serial No. 2(ii) for Saloon cars, supported by certificates from vehicle manufacturers. They presented various documents, including technical data manuals, to demonstrate that the tyres met the criteria for Saloon cars, emphasizing the importance of technical parameters like ply rating in distinguishing between tyres for different types of vehicles.

The Tribunal noted that the department failed to substantiate its argument with any material evidence, while the respondents provided detailed technical information and expert opinions supporting their classification of the tyres for Saloon cars. The Tribunal emphasized the need to consider all relevant technical parameters, not just rim sizes, in determining the appropriate classification of tyres for different types of vehicles.

Ultimately, the Tribunal dismissed the department's appeal as unsubstantiated, upholding the Collector's decision in favor of the respondents. The cross objection was also disposed of accordingly, highlighting the importance of providing substantial evidence to support classification claims in such cases.