AUTHORITY FOR ADVANCE RULINGS
(CENTRAL EXCISE, CUSTOMS & SERVICE TAX)
NEW DELHI
PRESENT

       Thursday, the Tenth of November Two Thousand Five 

Ruling Nos. AAR/13(Cus)/2005 In  Application No.AAR/44(Cus)/50/2005

R U L I N G

(Hon'ble Mr. Justice Syed Shah Mohammed Quadri)

In this application under Section 28H of the Customs Act, 1962 (for short "the Act"), M/s. Alcatel India Limited, Gurgaon, is seeking advance ruling of the Authority in respect of the classification of "Rheostat" under the First Schedule to the Customs Tariff Act, 1975 (for short  "the C.T. Act") on the following question:

"Whether the Rheostat to be imported into India is classifiable under Heading No.8533 39 of the First Schedule of the Customs Tariff Act, 1975."

2.         The application contains description of Rheostat as follows:

"The Power Feed Equipment (PFE) design incorporates a number of modulator (replaceable) parts. These parts allow the PFE to perform a telecommunication function by providing power to the system. The parts cannot be used independently of it or in other equipment, although they can be interchanged within the PFE cabinet as a spare or replacement or an existing unit. The Alcatel Rheostat is part of the Alcatel's PFE.

The Rheostat is a large resistor that can be varied under motor control to provide a variable load to the power feed equipment.  It acts as a dummy load to enable the equipment to be tested offline.  It is wire-bound,(sic) with a rating of 2 Kilowatts. Unit dimensions 230 mm x 300 mm x 500 mm."

3.           It is submitted that "Rheostat" is classifiable under heading 8533 39 of the C. T. Act.

4.         The Commissioner, in his comments, accepts the contention of the applicant that in accordance with the General Rules of Interpretation, on the basis of description of goods given in Annexure-II, the aforementioned goods are specifically covered under tariff heading 8533 39 20 of   the C.T. Act.

5.         It is thus seen that the Commissioner concurs with the proposed classification of  'Rheostat' under the C. T. Act.   

6.         Heading 8533 and the relevant tariff items read as under.

7.         From a plain reading of the heading and the tariff items it is clear that Electrical Resistors including Rheostats, other than heating Resistors, fall under heading 8533.  The sub-heading 8533 39 deals with residuary goods and tariff item 8533 39 20 specifically relates to Rheostats.  We are, therefore, satisfied that the Rheostat in question which is having a power rating of 2 kilo watts, is classifiable under tariff item 8533 39 20.   Accordingly, we rule on the question quoted above.

Pronounced in the open Court on this 10^th day of November, 2005.\