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<h1>Classification of 'Tar' in Phenol/Acetone Production Set Under Heading 38.23 of Central Excise Tariff Act 1985.</h1> The circular addresses the classification of 'tar' produced during the manufacture of Phenol/Acetone or Beta Napthol under the Central Excise Tariff Act, 1985. Initially, there was uncertainty about whether 'tar' should be classified under Chapter 27, 29, or 38. After discussions at tariff conferences and consultations with the Deputy Chief Chemist, it was concluded that 'tar,' a chemical process residue, should be classified under Heading No. 38.23. The Board supports this classification, advising that all pending assessments be finalized accordingly and informing relevant parties and trade interests.