TMI Blog2022 (9) TMI 205X X X X Extracts X X X X X X X X Extracts X X X X ..... appellant products viz. manually operated seed dressing drum, therefore by no stretch of imagination, can be said to be classified under Heading 8201. From the explanatory notes to HSN 8436, which explains the scope of the entry, it is found that, other agricultural machinery includes Seed dusting machines consisting of a revolving drum in which the seeds are coated with insecticidal or fungicidal powders - there is thus no doubt that the product in question is covered under heading 8436. Moreover heading 8437 specifically excludes farm-type machinery , further strengthening the classification of subject goods under heading 8436. The appellant s product viz. manually hand operated seed dressing, coating and treating drum is covered within the description provided under the HSN Code 8436. The appellant s product in its use as well as its function is as described under the said HSN code - The appellant s product viz. manually hand operated seed dressing, coating and treating drum is covered within the description provided under the HSN Code 8436. The appellant s product in its use as well as its function is as described under the said HSN code - the GAAR has correctly classif ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... chines usually consisting of one or more hoppers feeding a revolving drum in which the seed are coated with insecticidal or fungicidal powders; the chapter makes no difference between manual and power driven machines; after going through HSN 8436 notes, HSN 8437 which covers machines for cleaning, sorting or grading seed, grains or dried leguminous vegetables etc is not required to be examined. 5.1 In view of the foregoing, the GAAR ruled as follows:- Seed dressing, coating and treating drum machine is classified at HSN 84368090 tariff item and liable to GST at 12% [6% CGST + 6% SGST]. 6. Aggrieved by the aforesaid advance ruling, the appellant has filed the present appeal. 6.1 The appellant in the ground of appeal has submitted that only because their manually operated seed dressing drum does consist of Drum in which seeds are coated with chemicals before sowing, is not a correct base to classify their product under HSN Code 8436. The basic fact and necessity of HSN Code 8436, which includes various agricultural machinery fitted with mechanical or thermal equipment. Under HSN Code 8436 the machinery operates with use of additional power of mechanical or thermal kin ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... cultural manually hand operated seed dressing drum is classifiable under Chapter Heading 8201 or 8437 of Customs Tariff Act, 1975 which are elaborated below: CHAPTER 82 8201 - HAND TOOLS, THE FOLLOWING: SPADES, SHOVELS MATTOKS, PICKS, HOES, FORKS AND RAKES; AXES, BILL HOOKS AND SIMILAR HEWING TOOLS; SECATEURS AND PRUNERS OF ANY KIND; SCYTHES, SICKLES, HAY KNIVES, HEDGE SHEARS, TIMBER WEDGES AND OTHER TOOLS OF A KIND USED IN AGRICULTURE, HORTICULTURE OR FORESTRY. The Chapter Note 1 of Chapter 82 of Custom Tariff Act, 1975 is read as under: 1. Apart from blow lamps, portable forges, grinding wheels with frameworks, manicure or pedicure sets and goods of heading 8209, this chapter covers only articles with a blade, working edge, working surface or other working part of a. Base metal; b. Metal carbides or cermets; c. Precious or semi-precious stones (natural, synthetic or reconstructed) on a support of base metal, metal carbide or cermet; or d. Abrasive materials on a support of base metal, provided that the articles have cutting teeth, flutes, grooves, or the like, of base metal, which retain their identity and function after the application ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Heading 8437 of the Customs Tariff Act, 1975. 13. The GAAR in its ruling held that appellant s product is classifiable under Chapter Heading 8436 under Tariff Item 84368090 to which appellant has submitted in their appeal before this authority that basic fact and necessity of HSN code 8436 which includes various agriculture machineries fitted with mechanical or thermal equipment; and that machinery under HSN code 8436 operates with use of additional power of mechanical or thermal kind whereas their product i.e. manually operated seed dressing drum is not fitted with any mechanical or thermal equipment but it is rotated with hand and opened or closed with hand and therefore, cannot be classified under HSN 8436. For reference, Chapter Heading 8436 of Customs Tariff Act, 1975 is mentioned below: 8436 OTHER AGRICULTURAL, HORTICULTURAL, FORESTRY, POULTRY-KEEPING OR BEE-KEEPING MACHINERY, INCLUDING GERMINATION PLANT FITTED WITH MECHANICAL OR THERMAL EQUIPMENT; POULTY INCUBATORS AND BROODERS: 8436 10 00 Machinery for preparing animal feeding stuffs Poultry-keeping machinery; poultry incubators and bro ..... X X X X Extracts X X X X X X X X Extracts X X X X
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