9911796707
TMI Blog2000 (7) TMI 121X X X X Extracts X X X X X X X X Extracts X X X X ..... t in respect of their products "worm gears" and "worm shafts" and sought to classify the same under sub-heading 90.33 claiming these are being manufactured for speedometer only. The Assistant Collector in the Order-in-Original after hearing the parties had classified the same under chapter sub-heading 84.83 and confirmed the differential duty holding that in terms of the explanation given in the HSN the products should be classified under the said sub-heading. An appeal was filed before the appellate authority. In the appeal before the appellate authority it was pleaded by the appellants that they were manufacturing worm gears and worm shafts as per the specifications received from their customers in their dashboard instrument i.e. speedome ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Superintendent who wrote by his letter dated 9-11-1993 confirming the same. He read the provisions of chapter note XVI and note 1(l) which exempts the application of the said chapter in respect of products or articles which fall under chapter 90. He also stated that when we look into the chapter note 2(a) of chapter 90 there is a specific exemption provided under the said note which reads as "other than heading Nos. 84.85, 85.48 or 90.33" which has been omitted to look into by the appellate authority as well as the original authority. He states the crucial point in this case is effect of the above words. He states that the product has been used only for the speedometer. The speedometer has been provided to be classified under sub-heading 90 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... l and pulleys, including pulley blocks; clutches and shaft couplings (including universal joints). 90.29 - Revolution counters, production counters, taximeters, mileometers, pedometers and the like; speed indicators and tachometers, other than those of heading No. 90.14 or 90.15; stroboscopes. 90.33 - Parts and accessories (not specified or included elsewhere in this chapter) for machines, appliances, instruments or apparatus of chapter 90". When we look into the same one has to look into it along with the facts before us. It is undisputed fact that the products manufactured by the appellants are parts of speedometer. The products manufactured by them are used in the manufacture of speedometers. This is confirmed in paragraphs 2 and 3 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... respective headings". The Collector in our view went into a grave error when he omitted to consider the excepted portion which has been extracted above. Without the words other than headings 84.85, 85.48 or 90.33, the observation of the Collector may be correct but the effect of words "other than" clearly clinches the issue in favour of the appellants. Apart from that as stated above notes under section XVI clearly states that the provisions of that section note will not be applicable to the products manufactured under the products coming under chapter 90. In our view the approach of the lower authorities is clearly wrong. We therefore set aside the impugned order and classify the products in question under chapter sub-heading 90.33. 8.Ap ..... X X X X Extracts X X X X X X X X Extracts X X X X
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