Objective tariff characteristics control classification; a product meeting the specific entry cannot be placed in the residuary heading.
Light Aluminium Rolling Oil was classifiable under the specific tariff entry for kerosene and aviation turbine fuel because it satisfied the objective physical characteristics in the heading, including smoke point and final boiling point requirements. The expression "that is to say" was treated as an exhaustive description of the covered oils, so the product could not be moved to the residuary sub-heading merely because it was marketed or known as rolling oil rather than kerosene in common parlance. Classification under sub-heading 2710.29 was upheld and the residuary classification under sub-heading 2710.99 was rejected.
Issues: Whether Light Aluminium Rolling Oil was classifiable under sub-heading 2710.29 of the Schedule to the Central Excise Tariff Act, 1985 as claimed by the assessee, or under sub-heading 2710.99 as contended by the Revenue.
Analysis: The relevant tariff description treated kerosene and aviation turbine fuel as covering any hydrocarbon oil, excluding mineral colza oil and turpentine substitute, having a smoke point of 18 mm or more and a final boiling point not exceeding 300 C. The goods were found to satisfy these specifications. The expression "that is to say" in the heading was understood as an exhaustive enumeration of the oils covered by the entry. Since the goods answered the tariff description, they could not be shifted to the residuary sub-heading merely because they were known as rolling oil and not as kerosene in common parlance.
Conclusion: The goods were correctly classifiable under sub-heading 2710.29, and the claim for classification under sub-heading 2710.99 was rejected.
Final Conclusion: The appeal failed on the classification question, and the order of the appellate authority was sustained.
Ratio Decidendi: Where a tariff entry expressly defines a class of goods by objective physical characteristics, a product satisfying those characteristics must be classified under that specific entry and not under the residuary heading.
TaxTMI 
AI Drafter ✕
TaxTMI 
TaxTMI 
