Classification of electromagnet assembly turned on its character as a meter part, not a bare electromagnet, under customs tariff rules.

An electromagnet assembly was held not to be classifiable as a bare electromagnet under Heading 85.05 because its true character was a composite assembly functioning as part of an electric supply meter. Applying the earlier coordinate decision on the same product, the tribunal treated the goods as parts and accessories of Chapter 90 and held Heading 90.33 to be the correct classification. The note to Chapter 85 was found not to justify classification under Heading 85.05, and the Commissioner's classification was set aside.

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Issues: Classification of electromagnet assembly under the Central Excise Tariff, namely whether the goods were classifiable as electromagnet under Heading 85.05 or as parts and accessories under Chapter 90, Heading 90.33.

Analysis: The dispute turned on the true character of the product. The item was not an electromagnet simplicitor but an assembly consisting of electromagnet and other parts, and it was also treated as a part of an electric supply meter. The earlier coordinate decision on the same product had held that, since the goods were more than a bare electromagnet and were in the nature of a part of an electricity meter, Heading 90.33 was the appropriate classification. On that reasoning, the note to Chapter 85 did not justify classification under Heading 85.05.

Conclusion: The goods were correctly classifiable under Heading 90.33 of Chapter 90 and not under Heading 85.05. The appeal succeeded and the classification adopted by the Commissioner was set aside.

Ratio Decidendi: A product that is not an electromagnet simplicitor, but an assembly functioning as a part of an electricity meter, is classifiable under the heading for parts and accessories of Chapter 90 rather than as an electromagnet under Chapter 85.

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