AI OCR 
TaxTMI 
TaxTMI 
TaxTMI 
2026 (1) TMI 60
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.... in the development and manufacturing of advanced equipment for factory automation. Its product portfolio includes a wide range of industrial automation and inspection solutions, such as sensors, measuring instruments, vision systems, barcode readers, laser markers, and digital microscopes. 2. Description & Usage of IV3-500MA Smart Vision Sensor 2.1 IV3-500MA Smart Vision Sensor (Vision Sensor' / 'Product') is an advanced smart vision sensor designed to perform high-precision presence detection, inspection, and differentiation tasks in industrial and manufacturing environments. Leveraging AI-based imaging and detection technologies, the Vision Sensor simplifies complex visual inspection processes, ensuring high accuracy and operational efficiency. 2.2 The product is operated using either the IV3 series control panel (IV3-CP50) or a PC equipped with the dedicated software IV3-Navigator (IV3-H1). It enables users to easily configure complex detection operations, such as identifying part shapes that would otherwise require a photoelectric switch. Operation settings must be configured through the control panel or the IV3-Navigator software. Sensors are connected vi....
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....C, smartphone, or tablet 2.6 The process flow of the functioning of Product has been outlined below for reference; i. Step 1 - Trigger input: The process begins with the trigger input, which serves as the signal to initiate the imaging operation. The product can receive trigger input from and by synchronizing to the target position from an external device such as photoelectric switch or PLC. Also, the trigger can be generated internally by the Product at a regular interval with the internal trigger function. ii. Step 2 - Imaging: The built-in light is used to obtain an image of the target with the CMOS image sensor. The BUSY output function turns ON. iii. Step 3 - Tool processing: After the image is captured, the system performs image analysis and judgment using built-in AI tools. This step can operate in two distinct modes: a. Standard mode: According to the settings of a detection tool, the image of the target is scanned for detecting whether a target is high or low quality. In addition, misaligned positions of the target can be corrected by using the position adjustment tool. Up to 65 tools can be set. b. Sorting mode: Registers mu....
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....relative Section or Chapter Notes. The relevant text is reproduced as under: "1. The titles of Sections, Chapters and sub-chapters are provided for ease of reference only; for legal purposes, classification shall be determined according to the terms of the headings and any relative Section or Chapter Notes and, provided such headings or Notes do not otherwise require, according to the following provisions:" 3.2 Basis the above, Rule 1 of GIR, classification must be in accordance with the terms of Chapter heading and any other relevant Section and Chapter Notes. ▪ In the event the articles cannot be classified solely on the basis of GRI 1, GRI's 2 through 6 may be applied in order, as appropriate. ▪ Basis the above, let us now procced to analyse the various relevant HSN codes with respect to the 'IV3-500MA vision sensor'. 3.3 Whether 'IV3-500MA vision sensor' imported into India would merit classification under HSN: 9031.49 as "Measuring or checking instruments, appliances and machines, not specified or included elsewhere in this chapter; profile projectors" 3.3.1 Chapter 90 of First Schedule to CTA, 1975 pertains t....
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....he technical characteristics, principal usage, and applicable interpretative rules, the IV3-500MA Smart Vision Sensor satisfies the scope of Heading 9031 as a machine for measuring and checking. It incorporates essential optical elements and performs automated inspection using AI-based processing. Recommended Tariff Classification * Chapter: 90 - Optical, photographic, cinematographic, measuring, checking, precision, medical or surgical instruments and apparatus; parts and accessories thereof * Heading: 9031 - Measuring or checking instruments, appliances and machines, not specified or included elsewhere in this Chapter; * Sub-heading: 9031 49 00 - Other optical instruments and appliances The Jurisdictional Commissionerate has opined that the product's primary functionality aligns with Heading 9031, and it is therefore recommended that the Smart Vision Sensor "IV3- 500MA" is classifiable under CTH 9031 4900. Details of Hearing 5.1 A hearing was held on 12.11.2025 at 04.00 PM. Ms. Divya Bhusan, Ms. Ekta Ghildiyal and Megha Singhvi appeared online for the PH on behalf of the applicant and Ms. Divya Bhusan reiterated the contention submitted ....
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....ttery presence / orientation check, etc. 6.6 The Vision Sensor is equipped with a comprehensive suite of both standard and advanced detection tools, each designed to perform specific inspection and checking functions. The Standard Tools include capabilities for measuring Width, Diameter, Edge Presence, Pitch, Optical Character Recognition (OCR), and Colour/Brightness Prohibition. In addition, the Advanced Tools encompass features such as Blob Count, Learning Mode, and Multi-Position Adjustment. 6.7 These tools are essential components of the inspection process, enabling the Vision Sensor to accurately assess the quality and characteristics of various products. The presence of such sophisticated tools is in direct alignment with the requirements outlined in CTH 9031, which emphasizes the necessity for precise checking capabilities in measuring instruments. By utilizing these tools, the Vision Sensor can ensure that products meet stringent quality standards, thereby enhancing operational efficiency and reliability in industrial applications. Classification under Chapter 85 7.1. According to Note 3 to Section XVI, composite machines that perform multiple functions are to b....
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.... (ij) Endless belts of metal wire or strip (Section XV); (k) Articles of Chapter 82 or 83; (l) Articles of Section XVII; (m) Articles of Chapter 90; (n) Clocks, watches or other articles of Chapter 91; (o) Interchangeable tools of heading 8207 or brushes of a kind used as parts of machines (heading 9603); similar interchangeable tools are to be classified according to the constituent material of their working part (for example, in Chapter 40, 42, 43, 45 or 59 or heading 6804 or 6909); (p) Articles of Chapter 95; or (q) Typewriter or similar ribbons, whether or not on spools or in cartridges (classified according to their constituent material, or in heading 9612 if inked or otherwise prepared for giving impressions) or monopods, bipods, tripods and similar articles, of heading 9620." 7.4 Basis the above, it may be inferred that vide Section XVI (m), Articles that fall under Chapter 90 are specifically excluded from Section XVI, which covers Chapter 85. In other words, any article that gets covered under Chapter 90 shall not be covered under any Chapter falling under Section XVI (which includes Chapter 85). ....
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....tory), and not intended for general-purpose media recording. Thus, it does not meet the core criteria of devices under Heading 8525. Classification under Chapter 90: 8.1 From the applicant submission, it can be understood that 'IV3-500MA Smart Vision Sensor' (Vision Sensor' /'Product') is an advanced smart vision sensor designed to perform high-precision presence detection, inspection, and differentiation tasks in industrial and manufacturing environments. Leveraging Al-based imaging and detection technologies, the Vision Sensor simplifies complex visual inspection processes, ensuring high accuracy and operational efficiency. Its core functionality revolves around visual inspection, which is a critical aspect of quality control. 8.2 The primary objective of the IV3-500MA vision sensor is to conduct thorough inspections and checks regarding the presence or absence, orientation, alignment, accuracy, and differentiation of parts or products. The effectiveness of the sensor lies in its ability to analyze the images it captures and perform checks based on that analysis. Without this critical evaluation, the images obtained would lack practical utility, rende....
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.... "3. Unless the context otherwise requires. composite machines consisting of two or more machines fitted together to form a whole and other machines designed for the purpose of performing two or more complementary or alternative functions are to be classified as if consisting only of that component or as being that machine which performs the principal function" 8.5 As per Note 3 to Section XVI of the Customs Tariff, classification is determined by the principal function of the product. The Vision Sensor performs automated measurement and inspection, which aligns with the scope of Heading 9031. The product performs both image capture and image processing, but its principal function is the inspection and checking of products on a production line as the Vision Sensor performs comparison based on the pre- registered OK/NG product images in order to output OK/NG judgement results. Therefore, it should be classified under the heading that corresponds to this function. The said heading and its classification analysis has been elaborated in the ensuing paragraphs. 8.6 From the catalogue and technical details verified from the website of the applicant, it can be understood that th....