Customs, Excise and Gold Tribunal - Mumbai
Indian Farmers Fertilizers Co. Ltd. vs Commissioner Of Customs on 3 March, 2003
ORDER Gowri Shankar, Member (T)
1. These two appeals are against the order of the Commissioner (Appeals) confirming the order of the Assistant Commissioner of Customs rejecting the two claims of the appellant for refund of customs duty paid by it in excess.
2. The appellant is absent and unrepresented despite notice. We have read the memorandum of appeal and heard the departmental representative. The claim for refund under consideration in appeal 101/98 was based on the ground that heating element imported by the appellant was wrongly classified on importation by the appellant in heading 85.16.20 of the Customs tariff, and should have been specific in heading 8514.90 of the tariff at the lower rate of duty. The Assistant Commissioner found this claim to be untenable. He noted that heading 85.16 included electric heating resistors other than those of heading No. 85.45. Heading 8514.90 covered industrial or laboratory electric furnaces and ovens and parts thereof. He found that by application of note 3a of the General Rules for the Interpretation of the Customs Tariff Act, heading 85.16 was more specific and should apply.
3. On appeal, the Commissioner (Appeals) confirmed this view saying that by application of note 2(a) of Section XVI parts of a machine are to be classified in their own heading primarily. The appellant challenges this finding on the ground that since the goods are heating element in the furnace for use in the ammonia dissociator, the Commissioner has not correctly applied the rule.
4. We are unable to accept this contention. By applying Clause (A) of note 2 (a) to Section XVI of the tariff the heating elements which are included in heading 85.16 would be classifiable in it. In fact, the Explanatory Notes to the Harmonised System of Nomenclature of heading 8514 excludes classification in this heating, electric heating resistances. We therefore do not find any ground for interference.
5. The goods in respect of which refund was claimed in appeal 102/98 are spares for fan and driver hub assembly. The appellant has classified fan in heading 8415.55 and driver hub and ARM assembly in heading 8433.30. The refund was claimed on its view that the goods should be classified in heading 8416.90 as parts of burners. The Assistant Commissioner has held that the classification already claimed was more specific. On appeal, the Commissioner (Appeals) relied upon note 2 (a) to Section XVI, and confirmed the order of the Assistant Commissioner's order. Hence this appeal.
6. The ground in the appeal is that the goods are intended to use as spare in the furnace in which the burner is classified.
7. Heading 8414.59 includes fans. Heading 8483.30 includes transmission shaft, and crank. Again by application of Note 2(a) to Section XVI, the goods which are parts of the machines falling in heading 8416.90 if they are included in chapter 84 and 85 other than specified heading are classifiable in the respective heading excluded heading do not cover heading 84.14 and 83. We therefore do not find any ground for interference.
8. Both the Appeals are accordingly dismissed.