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2018 (5) TMI 528 - AAR - GSTClassification of the PVC floor mat - applicable rate of GST - whether classified under CTH 5705 or otherwise? - Manufacturing at two stages - Stage I being PVC Monofilament production and carpet piling process and stage 2 being Web-lamination and backing process. The prime raw material being used for the aforesaid product is PVC (Poly Vinyl Chloride). - Whether to be termed as ‘textile’ or ‘textile material’ as defined in dictionary. Held that: - PVC falls in Chapter 39, more specifically Heading 39.04, The impugned product is nonwoven and is impregnated with liquid PVC. We have seen above that the Chapter 39 covers substances called polymers and semi-manufactures and articles thereof, provided they are not excluded by Note 2 to the Chapter. The Note 2 reproduced above excludes goods of Section Xl and Section XI excludes nonwovens, impregnated, coated, covered or laminated with plastics, or articles thereof, of Chapter 39. The impugned product is not only impregnated but also coated with PVC, which is a plastics of Chapter 39. - The present product is made from PVC only and there should be no doubt whatsoever that the same would fall in Chapter 39 which covers PVC, a polymer and articles thereof. Having seen thus, there arises no occasion for us to discuss the Heading 5705 which is claimed as being applicable. The case laws being buttressed in respect of the applicability of the Heading 5705 also need no discussion as to their applicability or otherwise. However, we would like to observe herein that we are not at all disagreeable to the point that there are man-made textiles but the same are not required to be referred to here in view of the impugned product being clearly classifiable under Chapter 39 as per discussions held hereinabove. The Heading 3918 covers floor coverings of plastics, whether or not self-adhesive, in rolls or in the form of tiles - the applicant informs that the manufactured product is a product of running length which is then cut into size as given/ specified by the customer. The product is described as being a PVC Carpet Mat and therefore, it is clear that the impugned product would fall in the entry no.104A of Schedule Ill, thereby attracting tax at the rate of 18% (9% each of CGST and SGST). Ruling:- PVC floor mat, as described hereinabove, would fall in the Customs Tariff Heading 3918 and the applicable rate of GST theron would be 18% (9% each of CGST and SGST).
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