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2019 (7) TMI 1136 - AAAR - GSTClassification of goods - rate of tax - tips and balls, both being pen parts, used in manufacturing process of ball point pens - whether classified under HSN Chapter Head 9608 and taxable at the rate of 12% or not? - N/N. 12/2017-CentraI Tax dated 28.06.2017 (corresponding State Notification No. 1152-FT dated 29.06.2017) - challenge to ruling pronounced by the WBAAR. HELD THAT:- The Appellant’s interpretation of N/N. 12/2017-CentraI Tax dated 28.06.2017 (corresponding State Notification No. 1152-FT dated 29.06.2017) for classification of any item up to 4 digits and not beyond is on the wrong footing as the said Notifications were issued for mentioning of MSN codes on the invoice by the registered person depending on the Annual Turnover in the preceding financial year and hence not applicable in their present case. The ‘tips and balls of ball point pens’ are essentially ‘parts of refills’ and the refills are parts of ball point pens. “Ball point pens” are classified under Sub-heading no. 9608 10 attracting tax @ 12% while “Refills for ball point pens comprising the ball point and ink-reservoir” are classified under Sub-heading no. 9608 60 attracting tax @ 18%. Pen nibs and nib points as per HSN entry 9608 91 are very different from ball point tips and balls as used by the Appellant. Primarily ‘Tips and balls’ are part of refill, and since there is no specific Sub-heading allotted to these parts these should be classified under residuary Sub-heading as ‘Others- in 9608 99. attracting tax @ 18%. It is clear from the table in para 11 that the tips and halls dealt with by the Appellant fall under entry no. 453 of Schedule III. There is no infirmity in the ruling pronounced by the WBAAR - appeal dismissed - decided against appellant.
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