TMI Blog2018 (10) TMI 299X X X X Extracts X X X X X X X X Extracts X X X X ..... he product ‘Slates’ falling under Tariff Item 9610 00 00 is exempted from Goods and Services Tax vide Sl. No. 146 of Notification No. 2/2017Central Tax (Rate) dated 28.06.2017 issued under the Central Goods and Services Tax Act, 2017 and corresponding Notification issued under the Gujarat Goods and Services Tax Act, 2017 and the Integrated Goods and Services Tax Act, 2017 (herein after referred to as the ‘IGST Act, 2017’), whereas the product ‘Boards, with writing or drawing surface, whether or not framed’ falling under Tariff Item 9610 00 00 is leviable to Goods and Services Tax @ 18% (CGST 9% + SGST 9% or IGST 18%) vide Sl. No. 448 of Schedule III of Notification No. 1/2017-Central Tax (Rate) dated 28.06.2017 issued under the CGST Act, 2017 and corresponding Notification issued under the GGST Act, 2017 or the IGST Act, 2017. It is now well settled principle of interpretation of statue that the word not defined in the statute must be construed in its popular sense, meaning ‘that sense which people conversant with the subject matter with which the statue is dealing would attribute to it’. It is to be construed as understood in common language. Whether the products manufacture ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 146 of Notification No. 2/2017-Central Tax (Rate) dated 28.06.2017 issued under the CGST Act, 2017 and Sl. No. 146 of Notifications No. 2/2017-State Tax (Rate) dated 30.06.2017 issued under the GGST Act, 2017. In case of receipt of ‘manufacturing services on physical inputs (goods) owned by others’ by M/s. Raja Slates Pvt. Ltd. from the unregistered supplier of such service, the Goods and Services Tax is required to be paid by M/s. Raja Slates Pvt. Ltd. under Section 9(4) of the CGST Act, 2017 and the GGST Act, 2017, subject to exemption, if any, available. - GUJ/GAAR/R/2018/12 (IN APPLICATION NO. Advance Ruling/SGST&CGST/2017-18/AR/10) - - - Dated:- 30-7-2018 - R.B. MANKODI AND G.C. JAIN, MEMBER Present for the applicant : Shri P.R. Tindwani, Advocate The applicant M/s. Raja Slates Pvt. Ltd. has submitted in the application that it is engaged in the business of manufacturing and trading of slates , which are used by primary school students, mostly at village level, for the purpose of learning i.e. educational purpose. Applicant has submitted that the slates were tax free under Gujarat Value Added Tax Act and under GST Act also under Chapter 96 Miscellaneous Ma ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Notification No. 1/2017Central Tax (Rate) dated 28.06.2017 provides as follows :- Explanation . - For the purposes of this notification, - (i) (ii) (iii) Tariff item , sub-heading heading and Chapter shall mean respectively a tariff item, sub-heading, heading and chapter as specified in the First Schedule to the Customs Tariff Act, 1975 (51 of 1975). (iv) The rules for the interpretation of the First Schedule to the Customs Tariff Act, 1975 (51 of 1975), including the Section and Chapter Notes and the General Explanatory Notes of the First Schedule shall, so far as may be, apply to the interpretation of this notification. 8.2 Further, Hon ble Supreme Court in the case of L.M.L. Ltd. Vs. Commissioner of Customs [Civil Appeal No. 3764 of 2003, decided on 21.09.2010 reported at 2010 (258) ELT 321 (S.C.)] = 2010 (9) TMI 12 - SUPREME COURT OF INDIA , has held as follows :- 12. In Collector of Central Excise, Shillong v. Wood Crafts Products Ltd. reported in (1995) 3 SCC 454 = 1995 (3) TMI 93 - SUPREME COURT OF INDIA , it was held by this Court that as expressly stated in the statements of objects and reasons of the Central Ex ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... pplication, are as follows :- Slate should be with Tinpatti Frame in four sides and both side Slate Size : 24 X 24 Inch (out to out) Tolerance : 0.3 Inch Tinpatti (Tinfree) minimum 0.20 mm thick of size : _____ size and backside Frame should be fixed with four plastic corner with Aluminium Rivet Thickness of Slate : 3 mm Material : Pine wood base MDF (Medium Density Fibre) Color : Lead free Black Color 24 inch Nylon String (Pack Separately) Surface should be writeable with Slate pen and chalk Hole :- Black Finish Two Hole one on the top with 4 ________ the Slate Line Printing :- One side :Plane Second Side : Line printing as per drawing given _____ Packing : Each Slate in plastic bag and 20 Slates in one Box of suitable size. 9.3 From the technical specification of Teachers Slate and Students Slate , we find that the same are clearly designed to be used for writing or drawing with slate pen and chalk. The material specified to be used in Teachers Slate is Pine wood base MDF (Medium Density Fibre) and it should be without frame. The material specified to be used in Students Slate is Pine wood base MDF (Medi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d not to the scientific and technical meaning of the terms or expressions used but to their popular meaning, that is to say, the meaning attached to them by those dealing in them. If any term or expression has been defined in the enactment then it must be understood in the sense in which it is defined but in the absence of any definition being given in the enactment the meaning of the term in common parlance or commercial parlance has to be adopted. . 10.4 This view was upheld by Hon ble Supreme Court in the case of Oswal Agro Mills Ltd. Vs. Collector of Central Excise [1993 (66) E.L.T. 37 (S.C.)] = 1993 (4) TMI 73 - SUPREME COURT OF INDIA . While reiterating the principle that in absence of statutory definitions, they have to be construed according to their common parlance understanding, Hon ble Supreme Court, in the case of Commissioner of Central Excise Vs. Connaught Plaza Restaurant (P) Ltd. [2012 (286) E.L.T. 321 (S.C.)] = 2012 (12) TMI 149 - SUPREME COURT , has referred to various decisions on the subject and observed as follows :- Common Parlance Test : 18. Time and again, the principle of common parlance as the standard for interpreting terms in ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... to the supply of such goods or services or both. Therefore, in a case where registered person is recipient of taxable service of manufacturing services on physical inputs (goods) owned by others from the supplier of such service who is not registered, the Goods and Services Tax is required to be paid under Section 9(4) of the CGST Act, 2017 and the GGST Act, 2017, subject to exemption, if any, available. 12. In view of the foregoing, we rule as under - R U L I N G (A) The products Slate for Student and Slate for Teacher supplied by M/s. Raja Slates Pvt. Ltd. (GSTIN 24AAACR3936K1ZB) are appropriately classifiable under Tariff Heading 96.10. (B) The products Slate for Student and Slate for Teacher supplied by M/s. Raja Slates Pvt. Ltd. (GSTIN 24AAACR3936K1ZB) are eligible for exemption from payment of Goods and Services Tax vide Sl. No. 146 of Notification No. 2/2017-Central Tax (Rate) dated 28.06.2017 issued under the CGST Act, 2017 and Sl. No. 146 of Notifications No. 2/2017-State Tax (Rate) dated 30.06.2017 issued under the GGST Act, 2017. (C) In case of receipt of manufacturing services on physical inputs (goods) owned by others by M/s. Raja Sla ..... X X X X Extracts X X X X X X X X Extracts X X X X
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