2023 (9) TMI 197 - CESTAT CHENNAI

Classification of imported goods - Imaging Plates - Imaging Cassettes - Department is of the view that the goods fall under CTH 37011010 whereas the appellant (importer) has adopted the classification under CTH 90229090 - HELD THAT:- The very same issue as to the classification of Imaging Plates and Cassettes came up for consideration before the Tribunal in the case of Jindal Photo Ltd. [2014 (2) TMI 540 - CESTAT MUMBAI]. The Tribunal in the said case held that the goods are classifiable under CTH 90189090 and are eligible for the benefit of Notification No.21/2002-Cus. The importer therein had adopted the classification under 90189099 and not under 90229090.

As per the decision in FUJIFILM INDIA PVT LTD. VERSUS COMMISSIONER OF CUSTOMS (IMPORT) , NHAVA SHEVA [2015 (1) TMI 839 - CESTAT MUMBAI] the Tribunal doubted the classification decided in the case of M/s.Jindal Photos Ltd. [2014 (2) TMI 540 - CESTAT MUMBAI] under 90189099 and held that the IP plates and Cassettes are rightly classifiable under CTH 370110. However, it was held that these are accessories. The Tribunal categorically observed that it is not a part. It was also observed that the benefit of notification 21/2002 would be available even if the goods fall under CTH 370110, as the Sl.No.357B of the notification covers all goods falling under Chapter 90 or any other chapter - The assessee being aggrieved by the redetermination of classification under 3701 filed appeal before the Hon’ble Apex Court. As per the judgement reported in FUJIFILM INDIA PVT. LTD. VERSUS COMMISSIONER OF CUSTOMS (IMPORT) NHAVA SHEVA [2017 (4) TMI 635 - SUPREME COURT] it was held that as there was already a decision of co-ordinate bench in the case of M/s.Jindal Photo Ltd. [2014 (2) TMI 540 - CESTAT MUMBAI] the Tribunal ought not to have deviated. In case of doubt should have sought for Larger Bench. It was observed that as the dispute before the Tribunal was only with regard to the eligibility of notification, the Tribunal ought not to have disturbed the classification.

From the above it can be seen that in the case of Fujifilms Pvt. Ltd. the classification of the goods has been settled to be under 90229090. So also, the department in the OIO dt. 23.09.2011 has held the goods to be classifiable under 90229090 against which no appeal has been filed by the department. We therefore hold that the classification adopted by the appellant under CTH 90229090 is to be sustained. The re-determination of classification under CTH 370110 is set aside.

Whether the goods are eligible for exemption under notification 21/2002? - HELD THAT:- The Commissioner (Appeals) has not made any discussion as to how the impugned goods fall under the category of ‘consumables’ and not ‘accessories’. The meaning of ‘accessory’ has to be understood in relation to the nature of the main machine and the type of accessory in relation to which it is used. The Tribunal in the case of Fujifilm (P) Ltd. (2nd round of litigation) has held that the impugned goods being accessories are eligible for the benefit of notification.

The imported goods merit classification under CTH 90229090 and are eligible for benefit of exemption under Notification No.21/2002-Cus. The impugned orders are set aside - Appeal allowed.