1991 (2) TMI 259

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....try for home consumption (Cash No. 1191 dated 15-4-1988), the goods were classified, and assessed to customs duty, under Heading No. 4012.90 of the First Schedule to the Customs Tariff Act (hereinafter, "the Schedule", for short). Thereafter, the appellants claimed refund of a portion of the duty contending that the tyres could be used only in fork lift trucks and were not interchangeable for motor vehicles and that they were classifiable under Chapter 98 of the Schedule, sub-heading 9806 read with sub-heading 8427.90 and eligible for the benefit of Customs Notification No. 60/87, dated 1-3-1987. The Assistant Collector dismissed the claim on the ground that solid tyres were specified in Heading 4012.90 and that, therefore, the original ass....

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.... Revenue. The description of the goods as "industrial tyres" in the manufacturers' leaflet also goes to support the contention that the subject tyres are not for use in motor vehicles. In fact, the learned DR has fairly stated that there is no dispute that the subject tyres are designed for forklift trucks and that it is not the Department's case that they are interchangeable for use in motor vehicles. Now, Heading 40.12 of the Schedule reads thus :- "40.12 Retreaded or used pneumatic tyres of rubber; Solid or cushion tyres, interchangeable tyre treads and tyre flaps, of rubber" In the normal course, solid tyres which the subject goods are would fall under sub-heading 4012.90. In our opinion, there is a good deal of force in the appel....

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....ding 40.12 because that heading specifies solid tyres. 4. But the learned DR's contention is that Chapter 98 is unique to the Indian Customs Tariff Schedule covering as it does omnibus entries for project imports, laboratory chemicals, passengers' and crews' baggage etc. Chapter Note 1 must, therefore, be read in context. So read, the subject solid tyres would fall under 40.12 being specified therein. We do not agree. In our considered opinion, the result of a harmonious reading of the various headings, and Section and Chapter notes can only lead to the classification of the subject goods under Heading 98.06. 5. In any view of the matter, as rightly pointed out by the learned Counsel for the appellants, even if it is considered that t....