Tanks - Steel and Aluminium water tanks [Chapter 73 & 76] - Central Excise - 4/93-CX.4

Tanks - Steel and Aluminium water tanks [Chapter 73 76] Circular No. 4/93-CX.4 dated 1-9-1993 Government of India Central Board of Excise Customs New Delhi Subject : Tanks - Steel and Aluminium water tanks [Chapter 73 76]. There is no uniformity in classification of Steel, Aluminium Water Tanks (sometimes referred to as roof water tanks and reservoirs) to be fitted in Railway passenger coaches by the Central Excise officers for purpose of levy of duty in the Schedule to the Central Excise Tariff Act, 1985 (henceforth referred to as Tariff). The Central Excise officers of different collectorates have been classifying such Steel/Aluminium water tanks either under Chapter 73/76 as ordinary water tank as appearing in relevant entry or under Chapter 86, as parts of railway locomotives or rolling stock. The trade has represented on the lack of uniform classification of these water tanks under the Tariff as the incidence of duty varies depending on the heading number. 2. The Steel and Aluminium water tanks are manufactured according to the specification stipulated on the drawings supplied by the Railways. Use of these tanks is for the purpose of storage of water in the railway coaches. 3. The Central Board of Excise Customs (henceforth referred to as Board) has examined the classification of Steel/Aluminium water tanks manufactured for supply to Railways. Keeping in view the process of manufacture, composition of product, its use, tariff entry under the competitive Tariff Headings etc. Board is of the view that steel water tanks are classifiable under Chapter 73 and Aluminium water tanks are classifiable under Chapter 76. 4. Now, therefore, in exercise of the powers conferred under Section 37B of the Central Excises and Salt Act, 1944 (henceforth referred to as Act), and for the purpose of ensuring uniformity in classification. Board hereby orders that "Steel water tanks" shall henceforth be classifiable under Chapter 73 and "Aluminium water tanks" shall henceforth be classifiable under Chapter 76 of the Tariff. Board further directs that a copy of this order be sent to all Collectors who shall inform the trade and all other officers employed in execution of the provisions of this Act.