Tribunal Upholds Classification of 'Axe Brand Universal Oil' as Therapeutic Product

The Tribunal upheld the classification of "Axe Brand Universal Oil" under Chapter 30 based on its therapeutic properties, rejecting the department's appeal for classification under Chapter 33. The decision emphasized the oil's ingredients and Ayurvedic references supporting its medicinal nature, aligning with precedents involving similar products. The appeal was dismissed, affirming the Commissioner (Appeals) classification under CTH 30049011.

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Issues: Classification of "Axe Brand Universal Oil" under Chapter 30 or Chapter 33

Classification Issue Analysis:
The appeal was filed by the department challenging the reclassification of "Axe Brand Universal Oil" by the Commissioner of Customs (Appeals) under CTH 30049011. The department contended that the goods should be classified under Chapter 33, while the importer argued for classification under Chapter 30 based on therapeutic and prophylactic properties. The Commissioner (Appeals) upheld the importer's classification and also held that goods above 10 ml should be assessed under section 4A of the Central Excise Act, 1944. The department challenged only the classification issue, arguing that Chapter 33 should apply. The appellant's representative highlighted that the test report was inconclusive and that Chapter 33 covers cosmetics, not applicable to the goods. The respondent's counsel supported the classification under Chapter 30, citing similar products with therapeutic properties. The Tribunal examined the ingredients of "Axe Brand Universal Oil" and relevant Ayurvedic references, concluding that the oil had therapeutic uses. Relying on precedents like the Amrutanjan case, the Tribunal dismissed the appeal, upholding the classification under Chapter 30 based on therapeutic properties.

Conclusion:
The Tribunal decided that "Axe Brand Universal Oil" should be classified under Chapter 30 due to its therapeutic properties, rejecting the department's appeal for classification under Chapter 33. The judgment emphasized the ingredients and Ayurvedic references supporting the therapeutic nature of the oil, aligning with precedents involving similar products with medicinal properties. The appeal was dismissed, affirming the Commissioner (Appeals) classification under CTH 30049011.

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