HQ 081783: Tariff classification of a certain Security System

Native CBP ruling rendition. Applicability is fact-specific; modification/revocation relationships and original publisher date are retained. Publisher sentinel year0001 means unknown date, not a historical legal adoption.

                                      HQ 081783

                                   April 21, 1988



          CLA-2:CO:R:C:G  081783  PAM

          CATEGORY:  Classification

          TARIFF NO.: 8517.81.00

          Ms. Madeline B. Kuflik
          Attorney
          Panasonic Company
          One Panasonic Way
          Secaucus, New Jersey 07094

          RE:  Tariff classification of a certain Security System

          Dear Ms. Kuflik:

              Your inquiry of January 6, 1988, concerning the tariff
          classification of the S-3 Security System under the proposed Har-
          monized Tariff Schedule of the United States (HTSUS) has been
          forwarded to Headquarters for disposition.  Our ruling on this
          merchandise follows.

          FACTS:

              A sample of the S-3 Security System was submitted for
          analysis.  It consist of three components, a closed circuit TV, a
          voice operated intercom, and a telephone.   A unit containing the
          camera, an audio pickup and a speaker is designed to be attached
          to the outside of a door.  A console containing a telephone and
          monitor is designed to be used by the occupant of a residence in
          communicating with people outside the door.  The telephone has
          been adapted to serve as the audio pickup and speaker of the in-
          tercom.  This console and door camera unit are connected by an
          electric cable.  This device functions primarily to facilitate
          communication between people inside a dwelling and people outside
          the door of said dwelling.  We are guided in determining the
          classification of this device by Headnote 3 to Section XVI of the
          HTSUS which indicates that composite machines should be classi-
          fied as if consisting only of that component which performs the
          principal function.


















                                         -2-

          ISSUE:

              Whether this security device should be classified as other
          telephonic apparatus or as a closed circuit television.

          LAW AND ANALYSIS:

              As noted above, composite machines consisting of two or more
          machines fitted together to form a whole and adapted for the pur-
          pose of performing two or more complementary or alternative func-
          tions are to be classified as if consisting only of that compo-
          nent which performs the principal function.  Where such machines
          are intended to contribute together to a clearly defined function
          covered by one of the headings in chapter 85, then the whole
          falls to be classified in the heading appropriate to that func-
          tion.  Headnote 4, Section XVI, HTSUS.

              We consider this Security System to be a composite machine in
          which a camera, intercom, and telephone are fitted together to
          form a whole and adapted for the purpose of performing two or
          more complementary or alternative functions.  The monitor, tele-
          phone, and intercom are fitted together in a single unit, and the
          telephone has actually been adapted to serve as the audio pickup
          and speaker component of the intercom.  The audio and visual com-
          ponents of this system perform complementary functions by fa-
          cilitating communication between people inside and people outside
          a home or residence.  Since we consider the functions of these
          components to be generally complementary in nature, they must be
          classified according to the principal function of the composite
          machine.

              We also consider the unit designed to be mounted on the out-
          side of a door to be part of this composite machine by virtue of
          the fact that it is connected to the console by an electric
          cable.  Headnote 4, Section XVI, HTSUS.

              The S-3 Security System functions primarily as an intercom
          that allows two-way audio and one-way visual communication.  The
          principal function of an intercom is to facilitate communication.
          Therefore, the S-3 must be classified under the heading appropri-
          ate to its function as communications equipment.

              In choosing between the heading for television cameras and
          telephone apparatus we consider the latter to encompass the func-
          tion of this device as communication equipment.  The audio por-
          tion of this apparatus is indispensable to its function as an in-
          tercom, while the camera and monitor merely enhance that basic
          function.  The S-3 Security System remains an intercom even
          though a visual component is included in its design.













                                         -3-

          HOLDING:

              In view of the foregoing, the applicable HTSUS subheading is
          8517.81.00 which provides for other telephonic apparatus, with
          duty at 8.5 percent ad valorem.  Although your letter of January
          6, 1988, also requested the classification of this merchandise
          under the Tariff Schedules of the United States we have not ad-
          dressed that subject since our New York office provided you with
          the relevant information in ruling 827541 of February 2, 1988.

              As per your request, the sample you submitted is being re-
          turned under separate cover.

                                            Sincerely,




                                            John Durant
                                            Acting Director
                                            Commercial Rulings Division











































          6cc:  Area Director, New York Seaport
          2cc:  Chief, CIE
          1cc:  John Durant
          PAMartin: