Latest Expert Exchange Queries
sitemapHome | Registration | Job Portal for CA's | Expert Exchange | Currency Converter | Post Matrimonial Ads | Post Property Ads
 
 
News shortcuts: From the Courts | News Headlines | VAT (Value Added Tax) | Service Tax | Sales Tax | Placements & Empanelment | Various Acts & Rules | Latest Circulars | New Forms | Forex | Auditing | Direct Tax | Customs and Excise | ICAI | Corporate Law | Markets | Students | General | Indirect Tax | Mergers and Acquisitions | Continuing Prof. Edu. | Budget Extravaganza | Transfer Pricing
 
 
 
 
Popular Search: TAX RATES - GOODS TAXABLE @ 4% :: form 3cd :: ACCOUNTING STANDARD :: VAT Audit :: ARTICLES ON INPUT TAX CREDIT IN VAT :: VAT RATES :: list of goods taxed at 4% :: due date for vat payment :: cpt :: empanelment :: ACCOUNTING STANDARDS :: Central Excise rule to resale the machines to a new company :: articles on VAT and GST in India :: ICAI offer Get Windows 7,Office 2010 in Rs.799 Taxes :: TDS
 
 
Latest Circulars »
 RBI-Exim Bank's GoI supported Line of Credit of USD 35.00 million to the Government of the Republic of Guinea
 RBI-Amendment to Master Direction on Know Your Customer
 Reserve Bank of India Act, 1934 – Section 42(1A) Withdrawal of the Incremental CRR
 RBI-Transcript of Statement made by Shri R. Gandhi, Deputy Governor
 Requirement of customer due diligence and need for maintenance of records
 Card Not Present transactions – Relaxation in Additional Factor of Authentication for payments upto ₹ 2000/- for card network provided authentication solutions
 Auction of Government of India Dated Securities December 05, 2016
 Withdrawal of Legal Tender Character of the old Bank Notes in the denominations of ₹ 500/- and ₹ 1000/- (Updated as on December 05, 2016)
 RBI-Investment under PIS in M/s Laurus Labs Limited by FIIs/FPIs upto 49 per cent and NRIs upto 24 per cent
 RBI-Issuance of 35 days Cash Management Bills under Market Stabilisation Scheme (MSS)
 RBI-Information from Unauthenticated Sources – Advisory to banks

Regarding classification of Fused Silica under Customs Tariff Act, 1975
February, 03rd 2012

Circular No.03 / 2012 - Customs

 

F. No. 524/129/2011-STO (TU)

Government of India

Ministry of Finance

Department of Revenue

Central Board of Excise & Customs

 

229A, North Block, New Delhi,

1st February, 2012.

 

To

 

All Chief Commissioners / Commissioner of Customs / Customs (Prev.)

All Chief Commissioners / Commissioner of Customs & Central Excise

All Commissioners of Customs (Appeals)

All Commissioners of Customs & Central Excise (Appeals)

All Directors General under CBEC.

 

 

Subject: Classification of Fused Silica under Customs Tariff Act, 1975 - regarding.

 

****

 

Sir / Madam,

 

References have been received in the Board from field formations regarding divergent practices being followed in respect of classification of Fused Silica under Customs Tariff sub-heading 250610, 281122, 320740 or 700231.  

 

2.         The matter of correct classification of fused silica under the First Schedule to the Customs Tariff Act, 1975 was taken up for discussion during the Conference of Chief Commissioners of Customs on Tariff and allied matters held in May 2011. After examining the various entries in the said schedule and the technical aspects of the product in question, it was decided that the Chief Commissioners under whose jurisdiction the import of fused silica are taking place, shall furnish the technical details of the product to the Board; it was also decided to seek an expert opinion before arriving at a final decision regarding classification of the product.

 

3.         Accordingly, reports received from various field formations where import of fused silica had taken place was examined and an expert opinion was sought from the Central Glass & Ceramic Research Institute (CGCRI), Kolkata. The report given by CGCRI and technical literature on the product reveals that Fused Silica is type of glass containing primarily silica in amorphous (non-crystalline) form. Fused Silica is produced using high-purity silica sand as the feedstock, and is normally melted using an electric furnace or through continuous flame hydrolysis process, resulting in a material that is translucent or opaque. It has also been confirmed by CGCRI that naturally occurring fused silica is available in small quantity and for commercial use synthetically produced silica as above is generally in use.

 

4.1.       In terms of the headings, relative Section or Chapter Notes to the First Schedule of the Customs Tariff Act, 1975 and the General Rules for the Interpretation of the said Schedule to the tariff, it is seen that the sub-heading 2506 covers the following:

 

 2506 Quartz (other than natural sands); Quartzite, whether or not roughly trimmed or merely cut, by sawing or otherwise, into blocks or slabs of a rectangular (including square) shape

 

In terms of chapter note 1 to chapter 25, the headings of this chapter cover only products which are in crude state or which have been subjected to basic process such as washing, crushing, grounding etc. by physical or mechanical process. Products which are processed beyond this basic process would not be covered under this Chapter. As explained in para 3 above, since fused silica is produced by chemical processes beyond the basic processes mentioned above and considering that naturally occurring fused silica is not available for commercial use, classification of synthetically produced fused silica is ruled out under sub-heading 2506.

 

4.2.       Chapter 28 covers the following products:

 

Inorganic chemicals; organic or inorganic compounds of precious metals, of rare earth metals, of radioactive elements or of isotopes

 

It is also stated in the technical literature that chemical composition of Fused Silica and Silica is same, as both are predominantly consist of Silicon dioxide (SiO2). It may be noted that there is a specific entry under tariff item 28112200 as silicon dioxide. However, in view of Chapter Note 3 to Chapter 28, which excludes glass frit and other glass in the form of powder, granules or flakes, the classification of Fused Silica even though it consists of silicon dioxide (SiO2) cannot be brought under tariff item 28112200 of chapter 28.

 

4.3.       Sub-heading 3207 specifically covers glass frit and other glass, in the form of powder, granules or flakes. In the HSN explanatory notes to 3207 it has also been provided that Glass frit and all other varieties of glass (including vitrite and glass obtained from fused quartz or other fused silica) in the form of powder, granules or flakes, whether or not coloured or silvered is classifiable under sub-heading 3207. Therefore, on application ofGeneral Rules for the Interpretation (GIR) of the First Schedule to Customs Tariff GIR-1 and GIR-6, read with Chapter Note 3 to Chapter 28, Fused Silica is correctly classifiable under tariff item 32074000.

 

4.4.       Similarly, sub-heading 7002 covers Glass in balls (other than microspheres of heading7018), rods or tubes, unworked. Hence, Fused Silica in tube form, rods or tubes, unworked, is appropriately classifiable under tariff item 70023100.

 

5.         Suitable instructions may be given to the field formation and all pending assessments, if any, may be finalized accordingly. Difficulty faced, if any, may be brought to notice of the Board.

           

 Yours faithfully, 

 

 

(Subodh Singh),

OSD (Customs), Tariff Unit,

Fax-011-23092173

 
 
Home | About Us | Terms and Conditions | Contact Us
Copyright 2016 CAinINDIA All Right Reserved.
Designed and Developed by Binarysoft Technologies Pvt. Ltd.
Wholesale Silver Jewelry

Transfer Pricing | International Taxation | Business Consulting | Corporate Compliance and Consulting | Assurance and Risk Advisory | Indirect Taxes | Direct Taxes | Transaction Advisory | Regular Compliance and Reporting | Tax Assessments | International Taxation Advisory | Capital Structuring | Withholding tax advisory | Expatriate Tax Reporting | Litigation | Badges | Club Badges | Seals | Military Insignias | Emblems | Family Crest | Software Development India | Software Development Company | SEO Company | Web Application Development | MLM Software | MLM Solutions