Page 132 - GSTL_14th May 2020_Vol 36_Part 2

234 GST LAW TIMES [ Vol. 36
(k) The view of the applicant is also supported by following judg-
ments :
(I) In case of Naffar Chandra Jute Mills Ltd. v. Assistant Collector of
C. Ex. - 1993 (66) E.L.T. 574 (Cal.), wherein it is stated that :
“45. Section 2 of the Central Excise Tariff Act, 1985 pro-
vides : ‘Duties specified in the Schedule to be levied. The rates at
which duties of excise shall be levied under the Central Excises
and Salt Act, 1944 (1 of 1944), are specified in the Schedule.”
46. The Schedule which contains the rates of duties in re-
spect of specified items has categorized these items sectionally.
Within each section are chapters covering sub-categories of the
section. Each section contains specific rules of interpretation in
respect of entries in the section and relate to inter-sectional ad-
mixtures. The Rules relied upon by the petitioners are the Rules
for the interpretation of the schedule itself. There are general
rules of interpretation applicable to inter-sectional admixtures
and like all general rules are to be resorted to when the sectional
rule does not provide to the contrary. The item in question is an
admixture of jute and plastic classifiable under Sections XI and
VIII respectively. The specific rules of interpretation provided
for those sections do not provide for inter-sectional admixtures.
The general rules of interpretation will thus apply.
47. The rules on which reliance has been placed :
”2.(b) Any reference in a heading to a material
or substance shall be taken to include a reference to
mixtures or combinations of that material or sub-
stance with other material or substance. Any refer-
ence to goods of a given material or substance shall
be taken to include a reference to goods consisting
wholly or partly of such material or substance.
3. When any application of sub-rule (b) of Rule
2 or for any other reason, goods are prima facie, clas-
sifiable under two or more headings, classification
shall be effected as follows :
(a) ** ** ** ** **
(b) Mixtures, composite goods consisting
of different materials or made up of different
components, and goods put up in sets,
which cannot be classified by reference to
(a), shall be classified as if they consisted of
the material or component which gives them
their essential character, in so far as this cri-
terion is applicable.”
48. The Rule 3(b) enacts what may be termed as the pre-
dominant principle of classification. That is to say an excisable
item must be understood with reference to the predominant el-
ement in its make-up.
49. The respondents have strongly urged that these Rules
are limited to interpretation of the Schedule and cannot serve as
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