9911796707
TMI Blog2019 (3) TMI 1851X X X X Extracts X X X X X X X X Extracts X X X X ..... ble at 12% or 18%?" 1.2 The floor foot mats used for the cars are manufactured from PVC as the raw material and thus are also known as PVC carpet mats in the industry. The manufactured product is of running length generally which is cut into size as per requirement of the customers. 1.3 Notification No. 1/2017 Central Tax (Rate) dated 28.06.2017 and Notification No. 1/2017 State Tax (Rate) specify the rate of CGST/SGST to be levied on different products along with their corresponding Chapter/Heading/ Sub-Heading / Tariff item. 1.4 Entry No. 146 of Schedule II of the above Notifications cover the Chapter Heading 5705 and the same is quoted below: 146. 5705 Other carpets and other textile floor coverings, whether or not made up; ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... this chapter covers substances called polymers and semi-manufactures and article thereof provided they are not excluded by Note 2 to the Chapter Note 2 to Chapter 39" says as follow: 2. The Chapter does not cover: (p) Goods of section (Textile and Textile Articles) 1.8 The applicant is therefore confused- the trade feels that the Customs Tariff Heading 5705 should be applicable to the impugned product. As is mentioned hereinabove, Chapter 57 falls in Section 11 of the Scheme of Customs Tariff Section is about "Textile & Textile Articles" and Chapter 57 is about Carpets & Other textile floor coverings". It is clear that the impugned product is composed only of PVC yarn and liquid PVC. The samples of the impugned product shall be produc ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... r or not self-adhesive in rolls or in the form of tiles. The impugned product is known as a PVC car mats/ carpet, and, therefore, in the view of the applicant it should fall under Entry No. 104A of Schedule Il and tax accordingly. However, few people in the industry are also covering this item under Chapter 5705 and, accordingly, they are classifying the same under that chapter. 1.13 It has been advised to the applicant that in the pre-GST era, the impugned product i.e. PVC floor mats used to be classified under the Chapter 5705. The applicant is fully aware that the classification under Chapter Heading 3924 and Chapter Heading 5705 are mutually exclusive. 1.14 The applicant is submitting samples of impugned product and bill of entries s ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ered under Chapter 57 or more specifically Sub-Heading 5705. 3.3 Now, arises the question as to under which Heading/ Sub-Heading does the product PVC foot mats fall. Chapter 39 of the GST Tariff - goods covers plastics and articles thereof. Heading 3904 of this chapter covers Polymers of Vinyl Chloride or of other Halogenated Olefins, in primary forms. As per the manufacturing process explained by the applicant, at the time of personal hearing as well as written submission, the car foot mats are made of PVC fibres, which are bounded to each other by way of liquid PVC coating. In this manner, the foot mats are made entirely of PVC and is clearly covered under the Sub-Heading 4904 10 which covers Poly Vinyl Chloride, not mixed with any other ..... X X X X Extracts X X X X X X X X Extracts X X X X
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