Monodisperse Aerosol Generator Classifiable Under CTH 9027 as It Performed Analytical Function

ITC Limited Vs Commissioner of Customs (CESTAT Bangalore)

The Customs, Excise and Service Tax Appellate Tribunal (CESTAT), Bangalore, allowed the appeal concerning classification of a “Monodisperse Aerosol Generator” imported by the appellant for research and development purposes. The dispute was whether the imported product was classifiable under Customs Tariff Heading (CTH) 9032, as claimed by the Department, or under CTH 9027, as declared by the appellant. The appellant, a DSIR-certified research facility, had imported the product along with related instruments such as an Aerodynamic Particle Sizer, Electrical Neutralizer, and Aerosol Diluter under Bill of Entry dated 20.05.2019. The Department alleged mis-declaration of classification, reclassified the goods under CTH 9032 8990, confirmed differential duty with interest, and imposed penalty under Section 114A of the Customs Act, 1962. The Commissioner (Appeals) upheld the adjudication order.

Before the Tribunal, the appellant explained that the imported product formed part of an integrated system used for physical and chemical analysis of aerosols. The process involved generation of aerosol particles through the imported aerosol generator, neutralization through an electrical neutralizer, dilution using a diluter, and measurement through an aerodynamic particle sizer spectrometer. The appellant argued that the entire system functioned together for analytical purposes and that the imported product was correctly classifiable under Heading 9027 as an instrument for physical or chemical analysis.