1996 (5) TMI 261 - AT - Customs

Issues Involved:
1. Classification of imported "Carbide Tipped Circular Saws" under the Customs Tariff Act, 1975.
2. Reassessment of the imported items under different headings of the Customs Tariff Act, 1975.
3. Applicability of various judgments to the classification of the imported items.

Issue-wise Detailed Analysis:

1. Classification of Imported "Carbide Tipped Circular Saws" under the Customs Tariff Act, 1975:
The primary issue revolves around the correct classification of "Carbide Tipped Circular Saws." The items were initially assessed under Item 82.01/04 of the Customs Tariff Act, 1975, which pertains to hand tools and saw blades for hand or machine saws. The importers sought reassessment under Item 82.06, which covers knives and cutting blades for machines or mechanical appliances. The Assistant Collector rejected the reassessment, but the Collector (Appeals) classified the items under Heading 84.45, which pertains to machine tools for working metal or metal carbides.

2. Reassessment of the Imported Items under Different Headings of the Customs Tariff Act, 1975:
The importers argued that the items should be classified under Chapter 82.08, which pertains to knives and cutting blades for machines or mechanical appliances. They alternatively suggested classification under Chapter 84.66 as parts solely and principally used with machines. The Collector (Appeals) upheld the classification under Heading 82.02, which specifically refers to blades for saws, based on the dictionary meaning of "saw" and explanatory notes under 82.08.

3. Applicability of Various Judgments to the Classification of the Imported Items:
The Revenue cited several judgments to support their classification under Heading 82.01/04. These include:
- Granite (India) v. Collector of Customs: Gang saw blades classified under Heading 82.01/04.
- Gujarat Steel Tube Indus. v. Collector of Customs: Circular saw blades (friction types) and the benefit of Notification No. 69/87.
- Collector of Customs v. Manjushree Mineral Ltd.: Blades for cutting instruments classified under Heading 82.01/04.
- Collector of Customs, Bombay v. Rajasthan Udyog: Saw blades bodies for attachment of diamond segments classified under Heading 82.01/04.
- Moorco (India) Ltd. v. Collector of Customs: Classification under relevant headings.
- Winter Misra Diamond Tools Ltd. v. Collector of Central Excise: Diamond impregnated segments classified under Heading 82.02.
- Collector of Customs, Bombay v. New Tech Tools Mfg. Co.: Classification under appropriate headings.

Conclusion:
The Tribunal carefully considered the submissions and the records. The technical literature provided by the importers described the items as high-precision saws used for cutting various materials. The Tribunal noted that the items are not knives or blades but "Carbide Tipped Circular Saws," which are used as cutting appliances. Therefore, the items fit the description of sub-heading 8202.20 and not under sub-heading 8202.90 or 8206 of the Customs Tariff Act, 1975. The Tribunal rejected the importers' claim under Chapter sub-heading 8206 or 8208 and upheld the Revenue's classification under Heading 82.01/04. Consequently, the importers' appeals were dismissed, and the Revenue's appeals were allowed.

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