Government of India
Ministry of Finance, Department of Revenue
Central Board of Excise & Customs, New Delhi
Subject : Central Excise- Classification / excisability of football panel kits- Clarification Regarding.
Doubts have been expressed about the classification / excisability of football panel kits as to whether suck kits are classifiable under chapter 95 as “toys, games and sports requisites” or Chapter sub-heading 4016.19 as articles of vulcanised rubber.
2. In this regard it has been represented that football panel kits are unstiched part of inflatable balls and are used exclusively in the manufacture of footballs/ volley balls/ inflatable balls and that there is no other use of the same Accordingly these are classifiable under Chapter 95 as “toys, games and sports requisites”.
3. The matter has been examined in the Board. The process of manufacture of the said panel kits involves, firstly, the mixing of raw rubber with various chemicals on the mixing mills. The compound so formed in then spread over canvas-cloth pieces which are rectangular in shape. The said rectangular pieces of sheets are thereafter screen-printed and are then vulcanised in the press. After vulcanising these sheets are cut into hexagonal/ pentagonal pieces, depending upon shape of the final product. Each one of these panels is also pre- punched with holes on all sides to enable stichers to stitch the panels together to bring final product for footballs/ volley balls and other inflatable balls, into existence. Specified number of such pieces are called kits. Such rubber kits are sold as well as consumed captivity in the manufacture of footballs/ volley balls.
4. As per Chapter Note 3 to Chapter 95, parts and accessories which are suitable for use solely or principally with articles of Chapter 95 are to be classified with these articles. As per description above, panel kits, through made of vulcanised rubber, are suitable for use solely or principally with articles of Chapter 95 i.e. footballs/ volley balls etc. falling under Chapter heading 95.06 of Central Excise Tariff Act, 1985 and are to be classified with those articles. The Board, is therefore, of the view that panel kits appropriately merit classification under Chapter heading 95.06 of CETA, 1985 as articles and equipments for general physical exercise etc.
5. Trade and field formations may be advised accordingly.