9911796707
TMI Blog1987 (6) TMI 183X X X X Extracts X X X X X X X X Extracts X X X X ..... re by virtue of note 2 to Chapter 90 the goods are not classifiable under 90.17/18 but under 84.10 of C.T.A. The respondents further claimed classification under sub-heading (1) of 84.18 on the grounds that the sub-heading (1) reads filtering and purifying machinery and apparatus for liquids and gases - not elsewhere specified. The learned Assistant Collector had observed that the filter even though it forms a part of any item i.e. respirator falling under 90.17/18, by virtue of Note 2(a) to Chapter 90, the goods are not assessable under Chapter 90 but under 84.18, only. She further observed that the imported items were parts of filters and the function of the same was to remove the impurities of the contaminated air and to make the air in the contaminated area breathable for the user of the self rescuer. She was of the opinion that it functions as air filter and hence as air filters are specifically covered under 84.18(2) and not under 84.18(1) the item merits classification under 84.18(2). Being aggrieved from the order passed by the Assistant Collector of Customs the respondents had filed an appeal to the learned Collector of Customs (Appeals). The respondents had pleaded before ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ailable. He had held that the imported goods fall under heading 90.17/18 of CTA, 1975 and had rejected the respondents claim for the benefit of Notification No 208-Cus., dated 22nd September, 1981. Being aggrieved from the aforesaid order the revenue has come in appeal before the Tribunal. 3. Shri J. Gopinath, the learned S.D.R. who has appeared on behalf of the appellant has reiterated the facts. He has submitted that the respondents had imported filters for self rescuer (breathing apparatus) and the same are to be supplied to miners in mines. He has stated that the respondents have claimed its assessment under heading 90.17/18 or 84.18(1) of CTA, 1975 whereas the revenue had assessed the same as air filters under heading 84.18(2). Shri Gopinath states that the Collector of Customs (Appeals) has accepted the claim of the respondents for classification under heading 90.17/18 but had rejected the claim of the respondent as to the benefit of Notification No. 208-Cus., dated 22nd September, 1981. He states that the imported goods are to be classified under heading 84.18(2) as assessed by the Assistant Collector. He further states that the respondents have not filed any cross-ob ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e an over-riding force on the respective headings. Shri Gopinath states that in view of the judgments cited by him the Chapter Notes and Section Notes are binding. Shri Gopinath has also referred to another judgment of the Tribunal in the case of Hindustan Petroleum Corporation Ltd. v. Collector of Customs, Madras reported in 1986 (24) E.L.T. 637 (Tribunal). He has referred in para number 3 of the said judgment where the Tribunal had held that "There is no universal rule in the Customs Tariff Act, 1975 to the effect that all spare parts would necessarily fall in the machinery Chapter only. Indeed, it is deliberate scheme of the Tariff that spare parts of certain materials should be classified in the respective material composition heading rather than in the machinery heading. This scheme is created by a number of Section Notes and Chapter Notes which are a part and parcel of the statutory tariff and which limit or expand the scope of the tariff headings themselves". Shri Gopinath has pleaded for the acceptance of the appeal. 4. Dr. Nitin Kantawala, the learned Advocate who has appeared on behalf of the respondents states that entry 90.17/18 is very specific and the decision ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e claimed to be parts of 'domestic sewing machines' which are classifiable under Heading 84.41(2) ibid. Therefore, the rotating hooks will fall under the same tariff Heading ibid." Shri Kantawala states that the Collector of Customs (Appeals) had rightly held that the same falls under heading 90.17/18 as part of breathing apparatus. Dr. Kantawala has pleaded for the dismissal of the appeal. 5. In reply Shri J. Gopinath, the learned S.D.R. has referred to Para No. 3 of the order passed by the Collector of Customs (Appeals). He has stated that the goods imported by the respondent are air filters. He has referred to Interpretative Rule 1. Shri Gopinath stated that heading 84.18(2) is the most appropriate heading. He has also referred to Hon'ble Supreme Court's decision in the case of Khandelwal Metal and Engineering Works and Another Etc. v. Union of India and others. He further states that the judgments cited by Shri Kantawala are not relevant. He has again pleaded for the acceptance of the appeal. 6. We have heard both the sides and have gone through the facts and circumstances of the case. The facts of the case are not disputed by both sides. The respondent manufactur ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... . Heading 84.18(2) relates to Air Filters; oil or fuel filters for internal combustion piston engines. There is no function of the Filter to change the composition of the air passing through the filter. The air filter parts imported by the appellants are special type of equipment and these cannot be equated with ordinary filters. The learned Collector of Customs (Appeals) had discussed at length the function of the imported goods. Para number 3 and para 4 from the said order are reproduced below:- "3. I have gone through the catalogue of the imported components and also sample of the component which was shown to me at the time of hearing. From the literature as well as from examination of the sample it is apparent that what has been imported is a stainless steel frame with perforation in the front and this perforation discharges the function of filtration. Moreover, the appliance by itself cannot work as a breathing appliance. All that it is capable of doing by itself is filtering the air in the atmosphere. Shri Kantawala's averments at the time of personal hearing that this filter converts carbon-monoxide into oxygen is not borne out from the literature of the imported component ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
