Court of Justice of the European Communities (including Court of First Instance Decisions)

You are here: BAILII >> Databases >> Court of Justice of the European Communities (including Court of First Instance Decisions) >> Fritz Fuss KG, Elektrotechnische Fabrik v Oberfinanzdirektion de Munich. [1977] EUECJ R-60/77 (15 December 1977)
URL: http://www.bailii.org/eu/cases/EUECJ/1977/R6077.html
Cite as: [1977] EUECJ R-60/77

[New search] [Help]

IMPORTANT LEGAL NOTICE - The source of this judgment is the web site of the Court of Justice of the European Communities. The information in this database has been provided free of charge and is subject to a Court of Justice of the European Communities disclaimer and a copyright notice. This electronic version is not authentic and is subject to amendment.

61977J0060
Judgment of the Court (First Chamber) of 15 December 1977.
Fritz Fuss KG, Elektrotechnische Fabrik v Oberfinanzdirektion de Munich.
Reference for a preliminary ruling: Bundesfinanzhof - Germany.
Case 60-77.
European Court reports 1977 Page 02453
Greek special edition 1977 Page 00775
Portuguese special edition 1977 Page 00889

COMMON CUSTOMS TARIFF - DESCRIPTION OF GOODS - INDIVIDUAL ELECTRICAL APPLIANCES - NATURE OF ' PARTS ' - CLASSIFICATION UNDER TARIFF HEADING 85.17

NOTE 2 IN CONJUNCTION WITH NOTE 5 TO SECTION XVI OF THE COMMON CUSTOMS TARIFF MUST BE INTERPRETED AS MEANING THAT INDIVIDUAL ELECTRICAL APPLIANCES WHICH ARE SUITABLE FOR USE SOLELY OR PRINCIPALLY WITH AN ELECTRIC SOUND OR VISUAL SIGNALLING APPARATUS WITHIN THE MEANING OF TARIFF HEADING 85.17 ARE ' PARTS ' WITHIN THE MEANING OF THAT NOTE AND ARE TO BE CLASSIFIED ACCORDINGLY UNDER TARIFF HEADING 85.17 EVEN WHEN IMPORTED WITHOUT THE CABLES LINKING THE VARIOUS PARTS AND WITHOUT THE ACOUSTIC OR VISUAL ALARM SIGNALLING DEVICE .

IN CASE 60/77
REFERENCE TO THE COURT UNDER ARTICLE 177 OF THE EEC TREATY BY THE BUNDESFINANZHOF ( FEDERAL FINANCE COURT ) FOR A PRELIMINARY RULING IN THE ACTION PENDING BEFORE THAT COURT BETWEEN
FRITZ FUSS KG , ELECTRONICS FACTORY , ALBSTADT-EBINGEN ,
AND
OBERFINANZDIREKTION ( REGIONAL FINANCE OFFICE ) MUNCHEN

ON THE INTERPRETATION OF THE COMMON CUSTOMS TARIFF FOR THE PURPOSE OF THE TARIFF CLASSIFICATION OF CERTAIN ELECTRICAL APPLIANCES ,

1 BY ORDER DATED 19 APRIL 1977 , RECEIVED AT THE COURT ON 12 MAY 1977 , THE BUNDESFINANZHOF REFERRED THE FOLLOWING QUESTION TO THE COURT FOR A PRELIMINARY RULING UNDER ARTICLE 177 OF THE EEC TREATY :
' IS NOTE 2 IN CONJUNCTION WITH NOTE 5 TO SECTION XVI OF THE COMMON CUSTOMS TARIFF TO BE INTERPRETED TO THE EFFECT THAT PARTS OF APPLIANCES OR PARTS WITHIN THE MEANING OF THE FIRST-MENTIONED NOTE SHOULD BE REGARDED AS INCLUDING INDIVIDUAL ELECTRICAL APPLIANCES WHICH TOGETHER ARE NECESSARY COMPONENT PARTS OF AN ELECTRIC SOUND OR VISUAL SIGNALLING APPARATUS UNDER TARIFF HEADING 85.17 OF THE COMMON CUSTOMS TARIFF BUT WHICH CANNOT BE CLASSIFIED UNDER THAT TARIFF HEADING BECAUSE THEY ARE TO BE CLASSIFIED WITHOUT THE CABLES LINKING THE INDIVIDUAL ELECTRICAL APPLIANCES AND WITHOUT THE ACOUSTIC OR OPTICAL ALARM DEVICES OR DOES NOTE 2 ONLY REFER TO PARTS OF A PERMANENTLY ASSEMBLED UNIT?
'
2 THIS QUESTION HAS BEEN RAISED IN AN ACTION ON THE TARIFF CLASSIFICATION OF ARTICLES WHICH WERE DESCRIBED AS ' ULTRASONIC MOVEMENT DETECTORS ADVISOR III AND ADVISOR VI ' WHOSE FUNCTION IS TO DETECT MOVEMENT IN PARTICULAR AREAS AND TO TRANSMIT THIS INFORMATION BY MEANS OF ELECTRIC IMPULSES THROUGH ELECTRIC CABLES TO AN ALARM UNIT ( SOUND OR VISUAL ALARM SIGNALLING DEVICE ). BY TWO OFFICIAL TARIFF CLASSIFICATION OPINIONS DATED 12 MAY 1975 THE CUSTOMS AUTHORITIES CLASSIFIED THOSE ARTICLES UNDER SUBHEADING 85.22 C OF SECTION XVI , CHAPTER 85 , OF THE COMMON CUSTOMS TARIFF ( ' ELECTRICAL APPLIANCES AND APPARATUS , HAVING INDIVIDUAL FUNCTIONS , NOT FALLING WITHIN ANY OTHER HEADING OF THIS CHAPTER : . . . OTHER ' ). THE PLAINTIFF IN THE MAIN ACTION CONTESTS THAT CLASSIFICATION AND ALLEGES THAT THE ARTICLES IN QUESTION FALL UNDER HEADING 85.17 OF THE SAME SECTION AND CHAPTER : ' ELECTRIC SOUND OR VISUAL SIGNALLING APPARATUS ( SUCH AS . . . BURGLAR AND FIRE ALARMS ), OTHER THAN THOSE OF HEADING NO 85.09 OR 85.16 . '
3 NOTE 2 TO SECTION XVI OF THE COMMON CUSTOMS TARIFF MENTIONS ' PARTS OF MACHINES ' AND NOTE 3 ' COMPOSITE MACHINES CONSISTING OF . . . MACHINES FITTED TOGETHER . . . ' . NOTE 5 PROVIDES THAT THE EXPRESSION ' MACHINE ' MEANS ANY MACHINE , APPARATUS OR APPLIANCE OF A KIND FALLING WITHIN SECTION XVI .
4 THE BUNDESFINANZHOF MAKES IT CLEAR IN ITS QUESTION THAT THE LATTER RELATES TO THE CLASSIFICATION OF ' INDIVIDUAL ELECTRICAL APPLIANCES WHICH TOGETHER ARE NECESSARY COMPONENT PARTS OF AN ELECTRIC SOUND OR VISUAL SIGNALLING APPARATUS ' . THE ANSWER TO THAT QUESTION REQUIRES CONSIDERATION OF WHETHER ARTICLES OF THE KIND IN QUESTION ARE ' PARTS OF MACHINES ' OR ' COMPOSITE MACHINES ' WITHIN THE MEANING OF THE ABOVEMENTIONED NOTE 2 AND 3 .
5 NOTE 3 READS : ' UNLESS THE HEADINGS OTHERWISE REQUIRE , COMPOSITE MACHINES CONSISTING OF TWO OR MORE MACHINES FITTED TOGETHER TO FORM A WHOLE AND OTHER MACHINES ADAPTED FOR THE PURPOSE OF PERFORMING TWO OR MORE COMPLEMENTARY OR ALTERNATIVE FUNCTIONS ARE TO BE CLASSIFIED AS IF CONSISTING ONLY OF THAT COMPONENT OR AS BEING THAT MACHINE WHICH PERFORMS THE PRINCIPAL FUNCTION ' . ACCORDING TO THE EXPLANATORY NOTES TO THE BRUSSELS NOMENCLATURE RELATING TO THAT NOTE , FOR THE PURPOSES OF THE SAID TARIFF HEADINGS , ' MACHINES OF DIFFERENT KINDS ARE TAKEN TO BE FITTED TOGETHER TO FORM A WHOLE WHEN INCORPORATED ONE IN THE OTHER OR MOUNTED ONE ON THE OTHER ' OR , GENERALLY SPEAKING , WHERE THE MACHINES ARE FIRMLY FIXED TOGETHER AND THUS FORM A PHYSICAL UNIT . THE EXPLANATORY NOTES MOREOVER STATE THAT THE EXPRESSION ' COMPOSITE MACHINES ' FOR THE PURPOSES OF NOTE 3 DOES NOT COVER MACHINES OR APPLIANCES CONSISTING ' OF SEPARATE COMPONENTS WHICH ARE DESIGNED TO CONTRIBUTE TOGETHER TO A SINGLE CLEARLY DEFINED FUNCTION ' , INCLUDING INTER ALIA ' BURGLAR ALARMS ' . IT APPEARS FROM THOSE EXPLANATORY NOTES THAT WHERE SEPARATE COMPONENT PARTS ARE JOINED TOGETHER AND DESIGNED TO FORM A FUNCTIONAL UNIT , SUCH AS A BURGLAR ALARM , THEY ARE TO BE REGARDED AS ' PARTS OF MACHINES ' WITHIN THE MEANING OF NOTE 2 TO SECTION XVI OF THE COMMON CUSTOMS TARIFF AND TO BE CLASSIFIED ACCORDING TO THE RULES CONTAINED IN LETTERS ( A ), ( B ) AND ( C ) OF THAT NOTE . IT IS A CONDITION OF CLASSIFICATION UNDER LETTER ( A ) OF THAT NOTE THAT THE PARTS OF MACHINES IN QUESTION ARE GOODS OF A KIND DESCRIBED IN ANY OF THE HEADINGS OF CHAPTERS 84 AND 85 . LETTER ( B ) OF THE NOTE RELATES TO PARTS ' IF SUITABLE FOR USE SOLELY OR PRINCIPALLY WITH A PARTICULAR KIND OF MACHINE , OR WITH A NUMBER OF MACHINES FALLING WITHIN THE SAME HEADING ' . IT IS NOT A CONDITION OF TARIFF CLASSIFICATION ACCORDING TO THAT PROVISION THAT THE PARTS IN QUESTION SHOULD INCLUDE ALL THE COMPONENT PARTS WHICH NORMALLY GO TO MAKE UP THE COMPLETE APPLIANCE . RULE 2 ( A ) OF THE RULES FOR THE INTERPRETATION OF THE NOMENCLATURE OF THE COMMON CUSTOMS TARIFF PROVIDES : ' ANY REFERENCE IN A HEADING TO AN ARTICLE SHALL BE TAKEN TO INCLUDE A REFERENCE TO THAT ARTICLE INCOMPLETE OR UNFINISHED , PROVIDED THAT , AS IMPORTED , THE INCOMPLETE OR UNFINISHED ARTICLE HAS THE ESSENTIAL CHARACTER OF THE COMPLETE OR FINISHED ARTICLE ' . THE NECESSARY COMPONENT PARTS OF AN APPLIANCE COVERED BY A TARIFF HEADING , WHICH FORM A FUNCTIONAL UNIT AND WHEN FITTED TOGETHER HAVE THE ESSENTIAL CHARACTER OF THE COMPLETE ARTICLE , ARE THEREFORE COVERED BY THE EXPRESSION ' PARTS ' WITHIN THE MEANING OF NOTE 2 TO SECTION XVI OF THE COMMON CUSTOMS TARIFF AND ARE TO BE CLASSIFIED ACCORDING TO THE CRITERIA SET OUT AT LETTER ( B ) OF THAT NOTE .

6 THE QUESTION REFERRED MUST THEREFORE BE ANSWERED TO THE EFFECT THAT NOTE 2 IN CONJUNCTION WITH NOTE 5 TO SECTION XVI OF THE COMMON CUSTOMS TARIFF MUST BE INTERPRETED AS MEANING THAT INDIVIDUAL ELECTRICAL APPLIANCES WHICH ARE SUITABLE FOR USE SOLELY OR PRINCIPALLY WITH AN ELECTRIC SOUND OR VISUAL SIGNALLING APPARATUS WITHIN THE MEANING OF TARIFF HEADING 85.17 ARE ' PARTS ' WITHIN THE MEANING OF THAT NOTE AND ARE TO BE CLASSIFIED ACCORDINGLY UNDER TARIFF HEADING 85.17 EVEN WHEN IMPORTED WITHOUT THE CABLES LINKING THE VARIOUS PARTS AND WITHOUT THE ACOUSTIC OR VISUAL ALARM SIGNALLING DEVICE .

COSTS
7 THE COSTS INCURRED BY THE COMMISSION OF THE EUROPEAN COMMUNITIES , WHICH HAS SUBMITTED OBSERVATIONS TO THE COURT , ARE NOT RECOVERABLE AND AS THESE PROCEEDINGS ARE , IN SO FAR AS THE PARTIES TO THE MAIN ACTION ARE CONCERNED , IN THE NATURE OF A STEP IN THE ACTION PENDING BEFORE THE NATIONAL COURT , THE DECISION AS TO COSTS IS A MATTER FOR THAT COURT .

ON THOSE GROUNDS ,
THE COURT ( FIRST CHAMBER )
IN ANSWER TO THE QUESTION REFERRED TO IT BY THE BUNDESFINANZHOF BY ORDER DATED 19 APRIL 1977 , HEREBY RULES :
NOTE 2 IN CONJUNCTION WITH NOTE 5 TO SECTION XVI OF THE COMMON CUSTOMS TARIFF MUST BE INTERPRETED AS MEANING THAT INDIVIDUAL ELECTRICAL APPLIANCES WHICH ARE SUITABLE FOR USE SOLELY OR PRINCIPALLY WITH AN ELECTRIC SOUND OR VISUAL SIGNALLING APPARATUS WITHIN THE MEANING OF TARIFF HEADING 85.17 ARE ' PARTS ' WITHIN THE MEANING OF THAT NOTE AND ARE TO BE CLASSIFIED ACCORDINGLY UNDER TARIFF HEADING 85.17 EVEN WHEN IMPORTED WITHOUT THE CABLES LINKING THE VARIOUS PARTS AND WITHOUT THE ACOUSTIC OR VISUAL ALARM SIGNALLING DEVICE .