TMI Blog2018 (1) TMI 1279X X X X Extracts X X X X X X X X Extracts X X X X ..... nd TCs and whole propulsion of EMU is integrated with different components located in DMCs as well as TCs. The TC contains pantograph, transformers which are essential to draw power from overhead lines and convert the same to required capacity for use in the motors situated in DMCs - It is clear that the very same goods were examined by the Committee which gave a categorical ruling that EMUs are treated together and are to be classified under CTH 86.03. In fact, it is recorded that the T-cars could not be treated separately. Similar view has been taken by the US Customs authorities in advance ruling referred above. TCs as well as DMCs which are integrally forming part to make a functional EMU are to be treated together for the purpose of ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... TCs. The Revenue held a view that these TCs are not self-propelled railway or tramway coaches and they are more appropriately to be classified under CTH 8605 0000 as railway or passenger coaches not self-propelled. The rate of duty applicable to such goods will be 3.75% during the material time. Accordingly, proceedings were initiated against the appellants to reclassify the imported TCs and to demand differential duty. 3. The original authority decided the case resulting in the impugned order. He held that TCs do not have the characteristic features of self-propulsion and they are basically non powered coaches without self-propulsion capacity and as such these trailer coaches cannot be classified under CTH 8603. It is also observed by ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d as a single unit meriting classification under 8603. The trailer cars cannot be classified separately. d) The Ld. Counsel also drew our attention to an advanced ruling by US Customs which dealt with the similar matter of passenger rail car for urban transport. In the case of Washington Metro the authority held that the impugned goods are to be classified under 8603.1000. 5. The Ld. AR opposed the appeals on the following grounds:- a) The TCs imported by the appellants have no capacity for self-propulsion. A plain reading of the tariff entry will make it clear that the said TCs cannot be considered as railway coaches having self-propulsion capacity. b) The appellants treated DMCs and TCs separately and valued it separatel ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... hes has been extended by the Revenue. The TCs are dealt with separately. We note that based on the technical specification and the arrangement of functioning of EMUs, it is apparent and clear that the EMUs operate together and the TCs or DMCs cannot operate separately. The submission of the Revenue that TCs are to be treated separately will go against their case as the DMCs though treated separately, as noted above, the DMCs of their own have no self-propulsion capacity. They are lacking capacity to draw power and to transform it to the required level for usage. 7.2 We also perused the opinion of HS Committee relied upon by the appellants. It is clear that the very same goods were examined by the Committee which gave a categorical ruling ..... X X X X Extracts X X X X X X X X Extracts X X X X
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