1978 (10) TMI 44 - CGOVT - Central Excise

Government of India classifies putty as Glazier putty, not paint under Tariff Item 14-CET. Duty demand dropped.

The Government of India accepted the classification of putty as Glazier putty, not paint, under Tariff Item 14-CET in the case involving M/s. Atal Dyes ... Classification of goods for excise - Excisability of putty as paint - Trade and technical meaning in tariff interpretation - Glazier putty distinguished from paint - Review of departmental adjudicationExcisability of putty as paint - Trade and technical meaning in tariff interpretation - Glazier putty distinguished from paint - Putty for use in window frames (Glazier Putty) is not classifiable under Tariff Item 14CET as paint. - HELD THAT: - The Department had treated the putty as a stiff paint on the basis that its composition included whiting (calcium carbonate) and linseed oil. The Appellate Collector held the product to be Glazier putty, as recognised in trade and technical sources (B.T.N.), used for stopping, sealing or caulking cracks and joining components, and therefore not excisable as paint. The party asserted, and the Government accepted, that in the absence of any statutory definition of 'paint' in the Central Excise Tariff, classification must proceed by reference to trade and common parlance; by both method of manufacture and end use the putty differs from paint and is treated as a distinct item in trade and technical literature. Having considered these submissions and the Appellate Collector's finding, the Government concluded that Glazier putty is not classifiable as paint and dropped the review proceedings. [Paras 3, 5]Government accepts that Glazier putty is not classifiable as paint under Tariff Item 14CET and the review proceedings are dropped.Final Conclusion: The Government has reviewed the matter and, accepting the appellate finding and the party's submissions on trade and technical distinctions, held that Glazier putty is not excisable as paint under Tariff Item 14CET; review proceedings are therefore discontinued. The Government of India considered a case involving M/s. Atal Dyes Chemicals Pvt. Ltd. for clearing putty without duty payment. Initially, duty demand was made, but on appeal, it was found that the putty was not classified as paint but as Glazier putty. The government accepted this classification, concluding that putty is not classifiable as paint under Tariff Item 14-CET. Review proceedings were dropped.