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TIOL-DDT 33 · Monday, 17 January 2005 · story 3 of 6

Used steel rails for re-rolling - classifiable under CTH 7204 and freely importable- Board issues clarifications.

By Vijay Kumar

In the first Circular of the year, the CBEC has given several clarifications on Customs classification and eligibility of certain notifications, based on the recommendations of the CC's conference. The clarifications are:-

  1. Pontoon upgraded as Accommodation Barge is classifiable under heading 8905.

  2. In case, all the parts/components of the mobile phone handset are imported in a single consignment, it would be classified as 'complete mobile handset' under CTH 852520.17 and hence it would be ineligible for benefit under Sl.No. 319 or 320 of Notification No. 21/2002-Cus., dated 1.3.2002, applicable for parts.

  3. 'general purpose labelling machine' is eligible for exemption under S.No.250 of Notification No.21/2002-Cus., dated 1.3.2002, if it could also be used in the textile industry.

  4. fuel injection pumps and injectors exported and re-imported after fitment onto engines are not covered by notification No. 94/96-Cus., dated 16.12.96.

  5. ACT test tubes are eligible for exemption under Notification No.21/2002-Cus., dated 1.3.2002 – Sl. 363 B (List 37, Sr.59).

  6. 'Dant Mukta' is not eligible for benefit under Notification No. 6/2002-C.E., dated 1.3.2002, Sl.No.63. ( This is a clarification regarding a Central Excise exemption and Board clarifies it in a Customs circular!)

  7. Exemption would be available on the import of inflatable life jackets and life rafts considering these as essential parts for the manufacture of ships. (sl.No. 356 of Notification No. 21/2002)

  8. Benefit of Notification No. 80/70-Cus., dated 29.8.1970 would not be extended to import of warranty replacements by companies or commercial organisations.

  9. used steel rails for re-rolling were appropriately classifiable under CTH 7204 and these were freely importable.

Board wants the field to finalise any pending assessments based on these clarifications and issue suitable Public Notices. Fine but how did a Central Excise clarification get smuggled into a Customs circular? Normally Central Excise officers do not read customs circulars especially such long ones. Will not this Central Excise clarification get drowned among the customs clarifications?

CBEC CIRCULAR NO 1/2005-Cus, Dated : January 11, 2005