TaxTMI 
TaxTMI 
2016 (9) TMI 469
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....eal of the appellant. 2. The facts of the case is that the appellant has imported and sought clearance of 'Liquid Crystal Display' for energy meters i.e. LCDs under Customs Tariff Heading 90138010 claiming exemption from BCD under notification 24/2005-Cus Sr. No. 29. The Adjudicating authority however decided the classification of impugned goods under CTH 90289010 as parts of 'energy meters' by relying upon Chapter note 2(b) of Chapter 90 and Rule 3(c) of the General Rules for the Interpretation of Import Tariff. The importer paid the duty under protest and cleared the goods. The adjudicating authority in the Order-in-Original held that Hon'ble CEST....
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....er. 5. We have carefully considered the submissions made by both sides and perused the record. 6. We find that in the adjudication order, the Adjudicating authority has relied upon the decision of the Tribunal in case of Secure Meters Ltd Vs. Commissioner of Customs, New Delhi reported in [2004(168) ELT 63(Tribunal Delhi). The said judgment of the Tribunal has been reversed by the Hon'ble Apex Court decision in case of M/s. Secure Meters Ltd. Vs. Commissioner of Customs, New Delhi[2015-TIOL-100-SC-CUS]. Therefore the basic foundation of Order-in-Original has been demolished by the order of the Hon'ble Apex Court. The Hon'ble Apex Court in its order held as under: 15) Keeping in ....
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....ters, are to be classified in its respective heading. Respective heading, which is specifically provided, is 9013. 16) It was sought to be argued by Ms. Kiran Suri that as per Note 2(b), when these LCDs are used solely for particular instrument, namely, electricity supply meter, it has to be classified with the said meter and, therefore, Chapter Entry 9028 would get attracted. However, this argument loses sight of the fact that Note 2(b) relates to 'other parts and accessories',namely, it would apply to those parts and accessories for which Note 2(a) is inapplicable. Once we find that in the present case Note 2(a) squarely applies, the irresistible conclusion is that the goods will be classified in tariff item 9013, which i....
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....uidelines provided under the caption 'General'. Part-I thereof deals with General Content and Arrangement of the Chapter; Part-II deals with Incomplete or Unfinished Machines, Apparatus, etc.; and Part-III deals with Parts and Accessories. We are reproducing here this portion in order to show how it supports the view which we have proposed to take as indicated above: "(III) PARTS AND ACCESSORIES Subject to Chapter Note 1, parts or accessories identifiable as suitable for use solely or principally with the machines, appliances, instruments or apparatus of this Chapter are classified with those machines, appliances, etc. This general rule does not, however, apply to: (1) Parts or accessories which i....
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....mselves constitute 'article' falling in any particular heading of this Chapter, the general rule will not apply and said article would fall in that particular heading. To demonstrate this, examples which are given, eminently fit into the case at hand. 20) The aforesaid view of ours gets further cemented on going through Explanatory Notes issued by the World Customs Organization. Volume 4 of the Second Edition (1996), which covers Chapters 85-97, contains explanatory note in respect of item mentioned at 90.13, with which we are directly concerned herein. Relevant portion thereof reads as under: "90.13 - LIQUID CRYSTAL DEVICES NOT CONSTITUTING ARTICLES PROVIDED FOR MORE SPECIFICALLY IN OTHER HEADINGS: LASERS, OTHER T....