Classification of modular racks and cabinets as furniture, not apparatus parts, where no evidence showed sole or principal use with specified equipment.

Modular system racks, cabinets and card frames were held to fall under Heading 94.03 as furniture rather than Heading 85.38 as parts of apparatus of Headings 85.35 to 85.37. Heading 94.03 covers other furniture and parts thereof, including items for general or special use, and the relevant chapter note excludes only articles specifically designed as parts of the listed apparatus. Because no evidence was produced to show that the goods were solely or principally suitable for use with the specified apparatus, their use for housing electronic systems was not enough to attract Heading 85.38. The goods were therefore correctly classified under Heading 94.03.

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Issues: Whether modular system racks, cabinets and card frames were classifiable under Heading 85.38 as parts suitable for use solely or principally with apparatus of Headings 85.35 to 85.37, or under Heading 94.03 as furniture.

Analysis: Heading 94.03 covers other furniture and parts thereof, including furniture for general and special use. The chapter note excludes only those articles specifically designed as parts of the enumerated apparatus. The goods in question were used for housing electronic systems, but no evidence was produced to establish that they were parts of the apparatus covered by Headings 85.35 to 85.37. The mere fact that they housed electronic items did not make them classifiable under Heading 85.38.

Conclusion: The goods were not classifiable under Heading 85.38 and were correctly classifiable under Heading 94.03, in favour of Revenue.

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