Home Case Index All Cases Customs Customs + AT Customs - 2024 (1) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2024 (1) TMI 1170 - AT - CustomsClassification of imported goods - Sensor Bag Assembly - to be classified under CTI 90328910 or under CTI 87089500? - HELD THAT:- The original authority after considering the submissions of the respondent came to the conclusion that the subject goods did not merit classification under CTH 9032 as claimed by the respondent because in order merit classification under Heading 9032, the instrument or automatic regulator must maintain a factor at a desired value by measuring it constantly or periodically. No such function is performed in the present case. Rather, the original authority held that the subject goods would merit classification under Heading 8537. It is found that the appellate authority has also upheld the Order-in-Original classifying the said goods under Heading 8537. Further, it is found that the subject goods are not classifiable under CTI 87089500 as “Safety airbags with inflator system; parts thereof” because there is an exclusion in HSN Explanatory Notes to Heading 8708 where electronic controllers are excluded from Heading 8708. In view of the settled position of law as held in various decisions, the subject goods are not classifiable under CTI 87089500 as “Safety airbags with inflator system; parts thereof”, as claimed by the Department. Further, it is settled position of law that the burden of proving the correct classification is on the Department as held in various cases relied upon by the respondent. It is a settled law that when the classification proposed by the department cannot be sustained, then irrespective of the fact as to whether or not the classification of the assessee is proper, the same would prevail. The Hon’ble Apex Court in the case of Warner Hindustan Ltd. [1999 (8) TMI 75 - SUPREME COURT] has held The Tribunal also noted that “both sides have not adduced any detailed arguments as to why these tablets can be considered as confectionery item or otherwise although a plea is there from the Collector in the grounds of appeal that the goods are assessable under Tariff 17.04". In our opinion, the Tribunal was quite wrong in these circumstances in allowing the appeal of the Excise authorities and classifying the mint tablets as items of confectionery under Heading 17.04. The correct course for the Tribunal to have followed was to have dismissed the appeal of the Excise authorities making it clear that it was open to the Excise authorities to issue a fresh show cause notice to the appellant on the basis that the tablets were classifiable under Heading 17.04 as items of confectionery. There is no infirmity in the impugned order - Appeal of Revenue dismissed.
|