Bluetooth Headsets Classified Under CTH 8517

The Chennai Bench of the Customs, Excise and Service Tax Appellate Tribunal (CESTAT) has held that Bluetooth-enabled wireless headsets, earphones, earbuds and neckbands are classifiable under Customs Tariff Heading (CTH) 85176290 as apparatus for transmission and reception of voice and data in a wireless network, and not under CTH 85183000 as ordinary headphones or earphones. 

In doing so, the Tribunal relied extensively on CBIC Circular No. 36/2013-Cus. and reaffirmed the principle that classification must be determined based on the essential character and principal function of the imported product.