TaxTMI 
TaxTMI 
1996 (8) TMI 302
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....d the contention of the appellants that the seats should be classified under Item 34-A. Item 16-A(1), at the relevant time, read thus : "16-A Rubber products, the following namely : (1) Latex Foam Sponge 60% ad valorem" With effect from 1-3-1982 an explanation was introduced in Item 16-A(1) to include articles made of latex foam sponge. Tariff Item 34-A reads thus : "34-A Parts and accessories of motor vehicles not otherwise specified 20 per cent ad valorem." Explanation : The expression "Motor Vehicles" has the meaning assigned to it in Item No. 34. 2. The Tribunal, in the order under appeal, found that there was no transformation of the liquid froth foam sponge. It merely took the shape of the mould into which it wa....
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.... e.g., scooter pillion seat does not produce optimum results if used in manufacture of tractor seats. Therefore, for the manufacture of each type of automobile seat, different formulations need to be used and these formulations in turn are different from the formulations used in the manufacture of latex foam mattresses and other sheets. (b) Foaming : The compounded raw material is mechanically foamed and then poured into the moulds. These moulds are prepared to special design from drawings supplied by the ordering automobile manufacturing company. (c) Vulcanising : The moulds are then placed in a steam chamber and the seats vulcanised. The vulcanised seats are then removed from the mould, washed dried and inspected. If the finished produc....
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....classification under the heading in the new Tariff that pertained to seats and those used in two-wheelers under the heading that relating to two-wheelers. 5. Learned counsel for the Revenue submitted that the classification which found favour with the Tribunal ought not to be disturbed. He placed emphasis upon the fact that subsequent to 1-3-1982 Tariff Item 16-A(1) had been amended to include articles made of latex foam sponge and he submitted that the seats in question, even if they were not latex foam sponge, were articles made of latex foam sponge and, therefore, subsequent to 1-3-1982, merited classification under Tariff Item 16-A(1). In this behalf learned counsel pointed out that Tariff Item 34-A spoke of parts and accessories ....