TMI Blog2008 (12) TMI 344X X X X Extracts X X X X X X X X Extracts X X X X ..... r chapter heading 73.08. However, the Commissioner (Appeals) agreed with the decision of the Original Authority and dismissed the Revenue’s appeal. Revenue is aggrieved over the impugned order of the Commissioner (Appeals) file appeal. Held that- The Original Authority has very carefully examined the purchase orders of the buyer and he has come to the definite conclusion that the steel structures fabricated by the assessee are all components of a complete building. It is not necessary that all these components should be assembled and then transported. In fact, in terms of Chapter 94.06, even complete buildings unassembled also would come within the category of 94.06. Both the lower authorities have gone through the relevant records and have come to the conclusion that what have been cleared are only prefabricated building structures. In view of this, we do not find any merit in the Revenue’s appeal. The goods are rightly classifiable under Chapter 94.06. Thus, we reject Revenue’s appeal and uphold the impugned order. - E/56/2008 - 171/2009 - Dated:- 19-12-2008 - S/Shri T.K. Jayaraman, Member (T) and M.V. Ravindran, Member (J) Shri V.P.C. Rao, SDR, for the Appellant. Shri ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ncomplete metal structures, as well as parts of structures. For the purpose of this heading, these structures are characterized by the fact that once they are put in position, they generally remain in that position. They are usually made up from bars, rods, tubes, angles, shapes, sections, sheets, plates, wide flats including so called universal plates, hoop, strip, forgings or castings, by riveting, bolting, welding, etc. Such structures sometimes incorporate products of other headings such as panels of woven wire or expanded metal of heading 73.14. Parts of structures include clamps and other devices, specially designed for assembling metal structural elements of round cross sections (tabular or other). These devices usually have protuberances with tapped holes in which screws are inserted, at the time of assembly, to fix the clamps to the tubing". As seen from the manufacturing process of the assessee, they were using MS plates, rods, channels, angles, etc. on which they perform operations like tack welding, cutting, welding of sheets, rods, drilling. (d) Commissioner (Appeals) should have examined the Explanatory notes of HSN for Ch. Heading 7308.90 which states "...the headi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... r for "Structural Steel". Thus, it was also established that the unit had adopted different nomenclatures in different documents viz., invoices, way bills, etc., only with intent to claim undue benefit under Ch. H. 94.06 as Pre-fabricated building. (h) The Commissioner (Appeals) is erred in deciding the classification of the impugned goods under Ch. 94.06, as the HSN chapter Note to Ch. 94.06 explains that "it is a building having the essential character of prefabricated building. In the case of buildings presented unassembled, the necessary elements may be presented partially assembled (for example walls, trusses) or cut to size (beams, joists, in particulars) or, in some cases in indeterminate or random-lengths for cutting on the site (sills, insulation, etc.)". From the purchase orders it is clear that they were supplying Pre Engineered structures and sheets and not the entire building and the work relating to civil foundations were undertaken by civil engineers. Therefore, the Steel Structural supplied by the unit in unassembled condition does not fall under the ambit of Ch. 94.06 and are rightly classifiable under Ch. H. 7308.90. 4. The learned consultant reiterated the cr ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... and superstructures for mining 7308.9070 Tumblers steel polls for Electric Transmissions and distribution lines 7308.9090 Others 6. None of the above products are being manufactured or cleared by the unit from their factory. A holistic examination of the manufacturing activity in relation to the drawings and specifications of the customer reveals that they manufacture and clear only prefabricated buildings in un-assembled condition and are not clearing panels in random and uncertain lengths. They clear panels in specific and exact dimensions along with accessories, which when assembled at site gives rise to buildings. Hence, the same is classifiable under Chapter Heading 94.06 only. Reliance was placed on the decision of the Hon'ble CESTAT, West Zonal Bench, Mumbai in the case of M/s. Beard Sell Ltd. v. CCE, Belpur, 2006 (193) E.L.T. 325 (Tri.) wherein it was decided that such goods are classifiable under Chapter 94.06 of CETA only. 7. Our attention was invited to the copy of the order dated 24-1-2004 placed by M/s. APP Mills Ltd. M.R.. Palem, wherein the scope of the said order has been mentioned as fabrication, supply, erection and installation ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... . Description of the goods in invoices itself cannot be guiding factor in determining the classification of the goods. Reliance was placed on the decision of the CESTAT, Western Bench in the case of M/s. Sanghvi Movers Ltd. v. CC, Jamnagar - 2008 (223) E.L.T. 641 (Trib.- Ahmedabad). 12. We have gone through the records of the case very carefully. It is seen that even the show cause notice alleges that the appellants have cleared components of the pre-engineered constructions or building. There is no dispute that what the appellants had cleared all the components of the prefabricated structures. The Original Authority has very carefully examined the purchase orders of the buyer and he has come to the definite conclusion that the steel structures fabricated by the assessee are all components of a complete building. He has also relied on several case laws. It is not necessary that all these components should be assembled and then transported. In fact, in terms of Chapter 94.06, even complete buildings unassembled also would come within the category of 94.06. The individual components may be called as structures, but the purchase orders are only for prefabricated buildings, as can be ..... X X X X Extracts X X X X X X X X Extracts X X X X
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