Page 281 - ELT_1st September 2020_Vol 373_Part 5

2020 ] MONOTECH SYSTEMS LIMITED v. COMMISSIONER OF CUSTOMS (AIR), CHENNAI 719

At the time of import, the said classification claimed by the appellant was reject-
ed by the department and in order to clear the goods so as to meet the sales plan,
the appellant paid the duty as per the classification arrived by the department.
Subsequently, the speaking order was passed by the original authority confirm-
ing the classification under 8443 39 10. The appellants have claimed the classifica-
tion under 8443 32 50 on the grounds that heading at six digit level covers “print-
ers capable of connecting to an automatic data processing machine or to a net
work”. How this has to be established is clearly specified in the HSN Notes un-
der Chapter 8443 and has been further clarified in terms of Board’s Circular No.
11/2008-Cus., dated 1-7-2008. The catalogue of the product imported by the ap-
pellant would specify these requirements as clarified in the HSN Notes read with
the Board’s circular. Further the World Customs Organization (WCO) in its clas-
sification of opinion has held that the similar digital inkjet printers are to be clas-
sified under 8443 32. In another case, wherein the very same goods imported by
M/s. P.M. Digital Products, Chennai, the Commissioner (Appeals) after discuss-
ing the HSN Explanatory Notes as revised in 2012, has held that the correct clas-
sification is 8443 32 50.
3. The Ld. A.R. Shri S. Balakumar appeared and argued the matter. The
appellants have declared the goods as ‘Digital Inkjet Printer’ falling under classi-
fication CTH 8443 32 50. The goods were actually Digital Inkjet Press. It is a
wrong nomenclature to call these items as Digital Inkjet Printers. On the website
also, it can be seen that the goods are Digital Inkjet Press. In fact, the invoice has
mentioned only “Scodix S 75 Digital Inkjet”. This would indicate that the goods
cannot be called as “Inkjet Printer”. The goods are then to be treated as “Inkjet
Machine”. The appropriate classification of inkjet machines are CTH 8443 39 10;
that Customs Tariff has given correct heading at eight digit level for Inkjet Print-
er (8443 32 50) and Inkjet Printing Machine. This would show that both are not
one and similar. Further the goods covered under 8443 32 50 and 8443 39 10
should be capable of connecting to an automatic data processing machine or to a
net work. The argument of the appellant that the goods imported which are
Inkjet Press can be connected to the net work cannot be accepted. The authorities
below have rightly rejected the classification adopted by the appellants.
4. Heard both sides.
5. The invoice of the goods gives the description as under :

Ln Order Part Part HTS Country Qty. Unit Total
Number Descrip- of Price
tion Origin

1 SO140 SCO- Scodix 8443 32 00 Israel 1.0 ea USD 161,00.
00023 1300-60 S75 Digi- 161,00.00 000
tal Inkjet

The competing entries are as under :

8443 32 50 (by --- Ink Jet Printer u Free
Appellant)
8443 39 10 (by --- Ink-jet printing machine u Free
Dept.)

EXCISE LAW TIMES  1st September 2020  281