COMMISSIONER OF CENTRAL EXCISE Vs. SWARAJ MAZDA LTD.

JUDGEMENT

(1.) Heard both sides. Revenue filed this appeal against adjudication order passed by the Commissioner of Central Excise. In the impugned order Commissioner of Central Excise held that chassis of vehicles are classifiable under heading 8706.29 of Tariff. The Commissioner of Central Excise also dropped the proceedings in respect of valuation on on the ground that the respondent has cleared same chassis to the other independent buyers at the same price.

(2.) The contention of the Revenue is that the chassis in question are used in the manufacture of ambulance and these ambulances are used for carrying patients and injured persons and accordingly seating capacity to be determined when stretchers were on. When the stretchers are unfolded 4 persons can be adjusted in stretchers, 1 seat for the doctor, 2 seats are for driver and co -driver. In such situation these ambulances carry less than 12 persons hence are classifiable under 8702.10 of Central Excise Tariff and chassis of vehicle classifiable under 8702.10 of Tariff this vehicle are classifiable under 8706.21 of Central Excise Tariff.

(3.) We find that in the impugned order Commissioner of Central Excise relied upon the certificate issued by Vehicle Research and Development Establishment whereby it is stated that the ambulance with unfolded stretchers can carry 13 persons excluding driver. He further pointed out that the Board has clarified in Budget instruction, 1996 that seating capacity of motor vehicles can be ascertained, from the registration certificate issued by State Transport Commissioner or the Certificate of Compliance to Central Motor Vehicle Rules issued by Vehicle Research and Development Establishment, Ministry of Defence. In view of Certificate issued by Vehicle Research and Development Establishment, which is not disputed by the Revenue, the seating capacity is more than 12 therefore, we find no infirmity in the impugned order as ambulance is classifiable under 8702.90 of the Central Excise Tariff. Therefore the chassis for ambulance is rightly classifiable under 8706.29 of Central Excise Tariff. It is also noticed by us that the same chassis is used for motor vehicle, which can carry more than 18 persons.