TMI Blog2023 (3) TMI 1320X X X X Extracts X X X X X X X X Extracts X X X X ..... t and this authority is convinced that neither there is any use of fabric material nor these are hand made. The said goods is made from PVC only and there should be no doubt that the same would fall in chapter 39 which covers PVC, a polymer and articles thereof. From the perusal of all the aspects of the issue at hand, i.e. factual and legal provisions and relevant notifications and the judgements of the courts of the land, it is observed that the goods do not fall under chapter 57 and also cannot be considered as purely car accessories. The supply of the said goods i.e. PVC cushion mats falls under the chapter 39 of the GST tariff rates. Applicable rate of tax is 18%. - SUNDER LAL AND KUMUD SINGH, MEMBER APPLICANT'S ELIGIBILITY FOR SEEKING AN ADVANCE RULING: To file an application before the Authority of Advance Ruling, the applicant must satisfy the conditions prescribed under the Central Goods and Services Tax Act, 2017 (hereinafter referred to as CGST Act, 2017) and Haryana Goods and Services Tax Act, 2017 (hereinafter referred to as HGST Act, 2017). Since the provisions of both the Acts are pari materia, any reference to provisions of CGST Act, 2017 in ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Entry 100 (Ch. Hd. 3901 to 3913), 104A (Ch. Hd. 3918) and Entry 111 (Ch. Hd. 3926) deals with such products for various purposes and the GST rate on all these products is 18% (9% CGST and 9% HGST). 5. Further, heading 39.18 deals with floor coverings of plastic, whether or not self-adhesive in rolls, or in the form of tiles; wall or ceiling coverings of plastic attracting GST at the rate 18%-9% (CGST) and 9% (SGST) vide Entry No. 104A of Schedule II Notification No. 1/2017, whereas items falling under 87089900 relating to parts accessories of motor vehicles attract GST at the rate 28% [14% (CGST) and 14% (SGST)] in terms of the said Notification. 6. That the ratio of the judgement rendered by the Apex Court in the case of C.C.E, Delhi-Ill Vs. Uni Products India Ltd .- 2020 (372) E.L.T. 465 (S.C.) (Annexure-5), leads the Applicant to the view that as the goods arc specifically covered under HSN 3918 as Floor Coverings of PVC in terms of Rule 1 of the Rules of Interpretation of Customs Tariff, just for sole reason that subject item are exclusively made for cars, goods cannot be transplanted to residual entry against Heading 8708 ibid. 7. Moreover, for the purpose of G ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... he ratio of the aforementioned judgement rendered by the Apex Court leads the Applicant to the view that as the goods are specifically covered under HSN 3918 as Floor Coverings of PVC in terms of Rule 1 of the Rules of Interpretation of Customs Tariff, just for sole reason that subject item are exclusively made for cars, goods cannot be transplanted to residual entry against Heading 8708 ibid. 4. As for the Rules of Interpretation of Customs Tariff, it may be submitted that there is no such case of merit of classification of the said goods under 2 different chapter headings equally. Instead, the said proposed goods are specifically classifiable under 3918 as PVC floor coverings, and invoking Rule 3 is not necessary when classification can be decided under Rule 1 itself. 5. In view of the above submissions, the PVC cushion Mats proposed to be manufactured by the applicant, a sample of which is being produced before the Hon'ble Authority at the time of personal hearing, seem to be specifically covered under HSN 3918 as Floor Coverings of PVC in terms of Rule 1 of the Rules of Interpretation of Customs Tariff. 6. The Applicant is amply supported in their above contention ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... size as per requirement of the customers/fit in vehicle floor. While preparing the Mat for car floor, they are just cutting into the and there are no changes in product of PVT Mat. While the GST Tariff/ Schedule IV for 28% (14% CGST+14% SGST CGST, HSN Chapter 8701 to 8708 are related to Motor Car and its Parts are here given in below: Sr.No. Chapter/Heading/Sub-heading/Tariff item Description of Goods Amended By Notification No. (1) (2) (3) (4) 163A 8701 Road tractors for semi-trailers of engine capacity more than 1800 cc 164 8702 Motor vehicles for the transport of ten or more persons, including the driver (other than buses for use in public transport, which exclusively run on Bio-fuels Description Substituted By 6/2018-CTR Dt. 25/01/2018 165 8703 Motor cars and other motor vehicles principally designed for the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ing coverings of plastics The rate in respect of above entries is the same, 9% each of CGST and SGST. (C) Further to above, in the similar matter Hon'ble Supreme Court had ruled for Classification of Mat supplied to Automobile /Car industry does not fall under the Chapter 87 of Central Excise Tariff of Indian and in case of COMMISSIONER OF CENTRAL EXCISE, DELHI-III vs M/s UNI PRODUCTS INDIA LTD (CIVIL APPEAL NOS. 302-303 OF 20092020-VIL-17-SC-CE) The apex Court had discussed confirmed at Para 26, that Chapter 87 of the Central Excise Tariff of India does not contain car mats as an independent tariff entry. (D) That in view of above the applicant's usage/supply of PVC Mats to Automobile Industry, to be used in car and would fall under 18% while the above citied ruling by HAAR in case of M/s STINZO AUTOMOTIVES PVT LTD and Apex Court in the case of COMMISSIONER OF CENTRAL EXCISE, DELHI-III vs M/s UNI PRODUCTS INDIA LTD {CIVIL APPEAL NOS. 302-303 OF 20092020-VIL-17-SC-CE) in the similar matter had classified the PVC Mats under chapter 39. Hence, in opinion of the undersigned the facts of the present case are similar so the above rulings should apply to the pres ..... X X X X Extracts X X X X X X X X Extracts X X X X
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