Where there was dispute regarding classification of product P-100 and Revenue was of view that said product was classifiable under heading 3824 and not under head 3823 and, thus, required to verify chemical structure of product in dispute, since office of chemical laboratory was also not sure of exact classification and needed further clarification before arriving at final decision, original Adjudicating Authority could not decide issue suo moto without sending back said clarification to office of chemical examiner
Classification of goods (OR) – P-100 – Assessee had sought classification of product P-100 under heading 3823 However, Revenue by an impugned order classified said product under tariff heading 3824 – Commissioner (Appeals) issued direction to verify chemical structure and chemical process of product in dispute . It was found that office of chemical laboratory was not sure of exact classification, and needed further clarification before arriving at final decision . Whether it was not open to original Adjudicating Authority to decide issue suo moto without sending back said clarification to office of chemical examiner .
Held, yes – Whether further, onus of establishing change of classification was on revenue, however, revenue had not been able to produce sufficient evidence to substantiate claim – Held, yes – Whether thus, appeal against impugned order passed by Revenue was to be allowed – Held, yes [Paras 6 and 7] [In favour of assessee]
Citation : [2018] 96 taxmann.com 30 (Mumbai – CESTAT)