Tarpaulin cloth classification follows the settled tariff entry under Chapter 5207, defeating the contrary departmental demand.

Tarpaulin cloth was treated as classifiable under Chapter 5207 of the Central Excise Tariff Act, 1985, not under Heading 5906.90. The Tribunal followed an earlier binding classification view that had already examined the same goods and held that the settled tariff entry must be applied consistently. On that basis, the contrary departmental classification could not stand, and the resulting demand failed. The classification issue was therefore resolved in favour of the assessee.

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Issues: Whether tarpaulin cloth was correctly classifiable under Chapter 5207 or under Heading 5906.90.

Analysis: The dispute concerned the proper tariff classification of tarpaulin cloth. The Tribunal followed the earlier view that the issue had already been exhaustively examined and that tarpaulin cloth fell under Heading 5207 of the Central Excise Tariff Act, 1985, and not under Heading 5906.90. Since the classification question stood settled in favour of the assessee, the demand based on the contrary classification could not survive.

Conclusion: Tarpaulin cloth was held classifiable under Chapter 5207 and not under Heading 5906.90, in favour of the assessee.

Ratio Decidendi: Where a prior binding classification ruling has determined the proper tariff entry for the same goods, the goods must be classified in accordance with that settled entry and not under a competing heading adopted by the department.

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