Strict construction of exemption notifications keeps HDPE woven fabrics outside the textile exemption where specific exclusion applies.

HDPE woven fabrics, described as nylon, fishnet or mosquito-net fabrics, were held outside the textile exemption because Notification No. 7038 expressly excluded PVC/HDPE fabrics. The exclusion was treated as clear and unambiguous, so it could not be confined to HDPE fabrics used only for industrial or commercial purposes. A prior view that such fabrics might fall within rayon or artificial silk fabrics was displaced once the specific exclusion was introduced. Exemption notifications were applied strictly, and the words used were given their ordinary, natural and grammatical meaning. The result was that HDPE woven fabrics were not exempt under the textile entry and remained taxable as excluded goods.

---

---

Issues: Whether HDPE woven fabrics, commonly called nylon fabrics, fishnet fabrics or mosquito-net fabrics, were exempt as "textile" under the relevant trade tax notification despite the specific exclusion of HDPE fabrics.

Analysis: The entry for textiles in Notification No. 7038 dated January 31, 1985 expressly excluded PVC/HDPE fabrics. The language of the exclusion was held to be clear and unambiguous, leaving no basis to confine it only to HDPE fabrics used for industrial or commercial purposes. The earlier view that HDPE fabrics could fall within rayon or artificial silk fabrics could not prevail after the specific exclusion was introduced. Exemption notifications were to be construed strictly, and the ordinary, natural and grammatical meaning of the words used had to be given effect.

Conclusion: HDPE woven fabrics were not exempt under the textile entry and were taxable as excluded goods.

---