TMI Blog2022 (6) TMI 696X X X X Extracts X X X X X X X X Extracts X X X X ..... end), screw studs (i.e., short rods threaded at both ends), and screw studding (i.e., rods threaded throughout) and find that as per the HSN explanatory notes, U-Bolt which is made of steel, is a type of bolt which is specifically covered under the CTH 7318, therefore, these are classifiable under the CTH 7318. Front Spring Bolt - HELD THAT:- The Front Spring Bolt in question, which is also made up of Steel, fulfils the description as given in the HSN explanatory note and is designed to engage a nut is also classifiable under CTH 7318. Spring Pins - HELD THAT:- Spring Pins manufactured and supplied by the applicant are made up of various types of steel and are in the nature of a spring and hence provided under the sub-heading Other , covered under the CTH 7320 which aptly covers springs and leaves for springs, of iron or steel. Accordingly, the Spring Pins are classifiable under Tariff Item 7320 90 20. Hon ble Supreme Court of India in the case of G.S. AUTO INTERNATIONAL LTD. VERSUS COLLECTOR OF C. EX., CHANDIGARH [ 2003 (1) TMI 700 - SUPREME COURT] has held that the goods in question cannot but be regarded as parts of automobiles, it has to be held that they a ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... they are a manufacturer and supplier of goods such as nuts, bolts and springs etc. and the present application relates to classification of U-bolt, Front Spring Bolt, and Spring Pin. The brief description of the goods in question is as under; i. U-bolt is an industrial fastener in the shape of the letter U with two threaded arms (or legs) extending from a curved base. U bolts are typically used in mountings or to provide support where the u shape keeps it firmly in place, adding stability to the support. U bolts are generally used as framing fasteners and anchors for foundations and roofs, pipe and conduit holders and bolts for motor and engine shaft components. ii. Front Spring Bolt is a type of fastener which is used with a nut to fasten two or more goods together. It is a screw-like metal object without a point and is commonly known as nut bolt. Front Spring Bolts are available in different sizes and are used in various industries such as construction, automobile, agriculture etc. iii. Spring Pin is a mechanical fastener that secures the position of two or more parts of a machine relative to each other. The spring action of the pin allows it to compress as it ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... on the said date and re-iterated the submission already made in their application. Ms. Preeti Manral, Deputy Commissioner, SGST-Dehradun, Concerned Officer from State Authority was also present during the hearing proceedings. She presented the facts and requested the authority to decide the case on merits. 8. From the record submitted by the applicant we find that applicant is registered in Uttarakhand with GSTIN bearing no. 05AAACU7370AIZP. Before proceeding in the present case, we would first go through the submissions filed by the applicant and the same is summarized as under: 8.2 The brief description of the goods under question, manufactured by the applicant is as under. i. U-bolt- U-bolt is an industrial fastener, made of steel, in the shape of the letter U with two threaded arms (or legs) extending from a curved base. U bolts are typically used in mountings or to provide support where the u shape keeps it firmly in place, adding stability to the support. U bolts are generally used as framing fasteners and anchors for foundations and roofs, pipe and conduit holders and bolts for motor and engine shaft components. ii. Front Spring Bolt - Front Spring Bolt is ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... rs, or base metal, of Heading 8306. In Chapters 73 to 76 and 78 to 82 (but not in Heading 7315) references to parts of goods do not include references to parts of general use as defined above . 10.3 Likewise the relevant portion of SECTION XVII- VEHICLES, AIRCRAFT, VESSELS AND ASSOCAITED TRANSPORT EQUIPMENT- Note 2 is reproduced as under: 2. The expression parts and parts and accessories do not apply to the following articles, whether or not they are identifiable as for the goods of this Section : (a) .. (b) Parts of general use, as defined in Note 2 to Section XV, of base metal (Section XV), or similar goods of plastics (Chapter 39); (c) . (e) Machines and apparatus of Headings 8401 to 8479, or parts hereof, other than the radiators for the articles of this Section, articles of Heading 8481 or 8482 or, provided they constitute integral parts of engines or motors, articles of Heading 8483 ; 11 From the plain reading of above two Section Notes, we are of the opinion that at SECTION XV the expression parts of general use has been defined to include (a) Articles of Headings 7307, 7312, 7315, 7317 or 7318 and similar articles of ot ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Front Spring Bolt in question, which is also made up of Steel, fulfils the description as given in the HSN explanatory note and is designed to engage a nut is also classifiable under CTH 7318. 12. Further, we are of the opinion that the classification of goods under Customs tariff is governed by the General Rules of Interpretation and Rule I of these rules provides that classification of goods shall be determined according to the terms of the CTH of the tariff schedule and any relative section or chapter notes. We observe that the relevant entry for the Spring Pins is as under :- 7320 Springs and leaves for springs, of iron or steel 7320 90 Other 7320 90 20 Spring Pins 12.2 We find that Spring Pins manufactured and supplied by the applicant are made up of various types of steel and are in the nature of a spring and hence provided under the sub-heading Other , covered under the CTH 7320 which aptly covers springs and leaves for springs, of iron or steel. Accordingly, we are of the view that the Spring Pins are classifiable under Tariff Item 7320 90 20. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nce the goods in question are known as Nuts and Bolts namely U-bolt, Front Spring Bolt, and Spring Pin and not by any other name and as held by Hon ble Supreme Court that the Classification of goods is to be determined by commercial identity test and not by functional test i.e. as to how they are referred to in the market by those who deal with them, be it for the purpose of selling, purchasing or otherwise, they are to be classified as a generic product. Hence tee are of the view that if the generic goods as known in commercial parlance find specific mention in a particular Tariff Head and is also not covered in exclusion clause in any chapter note; the classification of goods has to be determined by commercial identity test and not by functional test. 15. In view of the discussions held above, we rule as under: RULING (i) The goods U-Bolt and Front Spring Bolt made up of Steel, manufactured and supplied by the applicant fall under the Tariff Heading 7318 15 00 and are taxable at the rate of 18%; (ii) The goods Spring Pin made up of Steel, manufactured and supplied by the applicant fau under the Tariff Heading 7320 90 20 and is taxable @ 18%. - - TaxTMI - TM ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
