Router classified as a computer peripheral under Tamil Nadu VAT law, not as a residuary unclassified item.

Router was treated as a computer peripheral because, by its ordinary function, it acts as an ancillary network device connected with a host computer to expand data transmission capability. On that basis, the product fell within Entry 68 of Part B of the First Schedule to the Tamil Nadu Value Added Tax Act, 2006, which covers information technology products including computer systems and peripherals. As the item was not shown to fall within the residuary category, classification as an unclassified item under Entry 69 of Part C was rejected, and the appellate classification was upheld.

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Issues: Whether router is classifiable as a computer peripheral under Entry 68 of Part B of the First Schedule to the Tamil Nadu Value Added Tax Act, 2006, or as an unclassified item under Entry 69 of Part C of the First Schedule.

Analysis: The goods in question were examined by reference to their function and the ordinary meaning of "peripheral". A peripheral was treated as an ancillary device connected with the host computer, expanding its capabilities without forming part of the core architecture. Router was found to be a network device used in conjunction with computers for transmission of data from one area to another and, on that basis, to fall within the concept of computer peripherals. Since Entry 68 covers information technology products notified by the Government, including computer systems and peripherals, and the commodity was not shown to belong to the residuary entry, the classification adopted by the appellate authorities was held to be justified.

Conclusion: Router is a computer peripheral covered by Entry 68 of Part B of the First Schedule to the Tamil Nadu Value Added Tax Act, 2006, and not an unclassified item under Entry 69 of Part C.

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