TaxTMI Login
AI OCR ✕Convert scanned orders, printed notices, PDFs and images into clean, searchable, editable text within seconds. Starting at 2 Credits/page
Try Now →Just a moment...
AI OCR ✕Convert scanned orders, printed notices, PDFs and images into clean, searchable, editable text within seconds. Starting at 2 Credits/page
Try Now →
Press 'Enter' to add multiple search terms. Rules for Better Search
Use comma for multiple locations.
---------------- For section wise search only -----------------
Accuracy Level ~ 90%
of 
Press 'Enter' after typing page number.
of Press 'Enter' after typing page number.
No Folders have been created
Are you sure you want to delete "My most important" ?
NOTE:
of Press 'Enter' after typing page number.
of Press 'Enter' after typing page number.
All Case Laws
of Press 'Enter' after typing page number.
of Press 'Enter' after typing page number.
All Case Laws
Note
Bookmark
Share
Don't have an account? Register Here
of Press 'Enter' after typing page number.
Issues: (i) Whether the product 'Scrabble' is classifiable as an educational toy or puzzle under Heading 95.03, or as a parlour game under sub-heading 9504.90 of the Central Excise Tariff; (ii) whether the demand was barred by limitation and the penalties were sustainable.
Issue (i): Whether the product 'Scrabble' is classifiable as an educational toy or puzzle under Heading 95.03, or as a parlour game under sub-heading 9504.90 of the Central Excise Tariff.
Analysis: The product is played by two or more persons, has winners and losers, is understood as a word game, and is played in homes, clubs and tournaments. A puzzle, by contrast, ordinarily involves one person and has one solution. The reasoning treated Scrabble as neither a toy nor a puzzle, and distinguished authorities relied upon by the appellants on the basis that those cases did not govern a word game of this nature.
Conclusion: The product is classifiable as a parlour game under sub-heading 9504.90, not under Heading 95.03, against the assessee.
Issue (ii): Whether the demand was barred by limitation and the penalties were sustainable.
Analysis: The declaration filed with the department described the goods only as toys and puzzles under Heading 95.03 and did not disclose Scrabble in the body of the declaration. The reasoning rejected the plea of bona fide belief and held that the non-disclosure amounted to suppression, so extended limitation was available. Since the demand survived on merits and limitation, the penalties were held to follow.
Conclusion: The demand was not time-barred and the penalties were sustainable, against the assessee.
Final Conclusion: The classification under Heading 95.03 failed, the demand and penalty-related findings were upheld, and the appeals were rejected.
Ratio Decidendi: A word game played by multiple persons with winners and losers is classifiable as a parlour game under the tariff entry for games rather than as an educational toy or puzzle, and non-disclosure of the product in the declaration can justify invocation of extended limitation.
TaxTMI 
TaxTMI 
