TMI Blog2016 (7) TMI 886X X X X Extracts X X X X X X X X Extracts X X X X ..... d in any of the items coming under 8421. The word “other” occurring in 8421 99 00 can have relation only to the main heading parts relating to centrifuges including centrifugal dryers or other parts which can be characterized as coming under such equipment and cannot be imported to sub heading 9018 90. Therefore, Note 2(b) clearly applies to the fact situation since there are no entries in the tariff head items which can take care of parts and accessories of renal dialysis equipment which comes under the tariff head 9018 90 31. The Circular is not in terms with the statutory provisions and is liable to be set aside. - Decided in favor of assessee. - W.P. (C) Nos. 9220, 13720 & 16350 of 2014 - - - Dated:- 5-7-2016 - A.M. SHAFFIQUE, J. FOR THE PETITIONER : ADVS. SRI.JOSEPH PRABAKAR, SRI.BIJOY CHANDRAN FOR THE RESPONDENT : ADV. SRI.JOHN VARGHESE, S.C JUDGMENT Ext.P6, Board's Circular No.19/2013 dated 9/5/2013, is under challenge in WP(C) No. 9220/2014. Petitioner consequentially seeks for quashing of Ext.P3 notice dated 21/1/2014 by which petitioner is called upon to show cause why short levy amounting to ₹ 2,87,379/- shall not be imposed on the p ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... on the part of the respondents to call upon the petitioner to pay differential duty. 5. WP(C) No. 13720/2014 has been filed by the very same petitioner wherein the petitioner sought to quash the very same Circular when notice had been issued under Section 28(1) of the Customs Act, 1962 on 7/11/2013 on the ground that there had been a short levy amounting to ₹ 10,57,027/- in respect of goods imported as per Bill of Entry Nos.8524569 dated 19/11/2012, 8908582 dated 31/12/2012 and 2280144 dated 30/5/2013. Grounds raised are similar in nature. 6. WP(C) No. 16350/2014 has been filed challenging the very same Circular when notice was issued on 21/5/2014 alleging short levy of ₹ 41,36,508/- with reference to similar products imported under different Bill of Entries. 7. The main contention urged by the petitioner is regarding the validity of Circular No.19/2013. The Circular seems to have been issued since some doubts have been raised regarding classification of filters referred as Disposable Sterilized Dialyzer and Microbarrier for filtering blood. The question was whether it was under the heading 9018 in tariff item No.9018 90 31 which provides for renal dialysis eq ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... fied under the general head of filters. 9. Learned counsel for petitioner placed reliance upon the judgment of the Supreme Court in LML Limited v. Commissioner of Customs [2010 (258) ELT 321 (SC)] wherein the Apex Court while referring to the judgment in Collector of Central Excise, Shillong .v. Woodcraft Products Ltd [(1995) 3 SCC 454] observed that when the Central Excise Tariffs are based on the Harmonious System of Nomenclature (HSN), it is a safe guide to resolve disputes. 10. Taking into consideration the rival contentions, the short question to be considered is whether the products in question namely, soft shell filter for blood bag and imugard filters are to be classified under the tariff item 9018 90 99 or classify the same in the general category of filters, which would fall under tariff item 8421 29 00. 11. As already indicated, clarification has been issued as per Circular No.19/2013 observing that as per Note 2(a) of Chapter 90, parts and accessories of machines, apparatus, instruments or articles of Chapter 90 which are goods included in any of the headings of Chapter 90 or Chapter 84, 85 or 91 other than certain exempted categories are to be clas ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... pparatus for liquids, the entry provided is from 8421 21 onwards. Sub heading 8421 21 is for filtering or purifying water. 8421 22 00 refers to filtering or purifying beverages other than water. Entry 2300 relates to oil or petrol filters for internal combustion engines. Thereafter, comes tariff item 8421 29 00 with the description other . The department contends that the imported equipments, being purifying equipments, come under the category other in Chapter 84. It is contended that all filters of liquid other than what is specified in any other tariff item comes within its purview. 15. Now coming to Chapter 90, it cannot be disputed that the imported materials are parts of renal dialysis equipments, blood transfusion apparatus and haemofiltration instrument. Note 2 of Chapter 90 reads as under: 2. Subject to Note 1 above, parts and accessories for machines, apparatus, instruments or articles of this Chapter are to be classified according to the following rules: (a) parts and accessories which are goods included in any of the headings of this Chapter or of Chapter 84, 85 or 91 (other than heading 8487, 8548 or 9033) are in all cases to be classified in their resp ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... les falling in any particular heading. 18. The contention urged by the respondents while supporting the Circular is that in view of the specific entry under sub heading 8421, the item cannot come under Chapter 90. But a bare reading of various tariff items coming under Chapter sub heading 8421 do not tend me to think that a component for filtering blood could be included in any of the items coming under 8421. The tariff items coming under 8421 read as under: 8421 Centrifuges, including centrifugal dryers, filtering or purifying machinery and apparatus, for liquids or gases. Centrifuges, including centrifugal dryers: 8421 11 00 Cream separators....................................... 8421 12 00 Clothes-dryers......................................... 8421 19 Other: 8421 19 10 Bowl centrifuges....................................... 8421 19 20 Basket centrifuges..................................... 8421 19 30 Continuous automatic centrifuges.............. 8421 19 40 Self cleaning centrifuges............................ 8421 19 50 Decanter centrifuges horizontal bowl......... 8421 19 60 Screw conveyor centrifuges... ..... X X X X Extracts X X X X X X X X Extracts X X X X
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