TaxTMI 
TaxTMI 
2018 (9) TMI 690
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....20.03.2018 to the JAC for their report on the classification of the said product considering the prevailing practice by other manufacturer and similar case of the applicant assessee pending before any other appellate forum etc. 2.1 The JAC vide their letter issued from F.No. Div-1/Misc./CGST/1/2018-19/87 dtd 13.04.2018 had concluded their report stating that the case of the applicant falls under the category of supply of services falling under heading 9989 of the scheme of classification of services covered under Sr. No. 27 of Notification No. 11/2017-CT(R). Defense Reply:- 3. The representative of the Applicant vide their letter dtd 15.05.2018 submitted that they had filed the captioned Advance Ruling application for decision on classification of printed leaflet manufactured by them at their Daman factory out of their own raw materials namely paper/ink with the contents supplied by the purchaser of leaflet to whom leaflets were sold by the Applicant on principal to principal basis. The issue to be decided as to whether same had to be considered as supply of goods falling under Chapter Sub-heading No.4901 attracting GST @5% as per Sr.No.201 of Schedule-1 of Noti.No.1/2017-....
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....ch constitutes the principal supply. Principal supply was defined at Section 2(90) as per which supply of goods or services which constitutes the pre-dominant element of composite supply and to which any other supply forming part of that composite supply was ancillary. In the given case mere supply of content by the customer was ancillary and the entire manufacturing cost of the products was comprising of own inputs used. Therefore, the principal supply was supply of goods on sale to customer on principal to principal basis. 3.3.3 They submitted that SAC 9989 covers only publishing matter attended on a fee or a contract basis and did not cover printing matter other than publishing matter. This was also clear from Para no.4 of CBEC Circular No. 11/11/2017-GST dated 20.10.2017 which reads as follows. In the case of printing of books, pamphlets, brochures, annual reports, and the like, where only content is supplied by the publisher or the person who owns the usage rights to the intangible inputs while the physical inputs including paper used for printing belong to the printer, supply of printing [of the content supplied by the recipient of supply] is the principal supply and th....
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....bout 300 pages of printed paper containing either written material or drawings bound in metal clip binding with covers on either side are books classifiable under Heading 49.01 of Customs Tariff Act, 1975 entitled to exemption under Notification No. 25/95-Cus. (para 4] 3 2001 (134) E.L.T. 156 (Tri. - Kolkata) = 2000 (11) TMI 681 - CEGAT, KOLKATA Advertising material - Folded leaflet titled "143 ways to export your sound" -Classifiable under sub-heading 4911.10 of Customs Tariff Act, 1975 corresponding to ITC (HS) Exim Code No. 491110.02 which required a specific license for importation, [para 3] 4 2001 (136) E.L.T. 1420 (Tri. - Mumbai) = 2001 (7) TMI 615 - CEGAT, MUMBAI Trade Directory - 'Yellow pages' - Tata press yellow pages containing list of paid advertisements, classifiable under Heading 49.11 of Customs Tariff Act, 1975 and not under Heading 49.01 ibid in view of Note 5 to Chapter 49 ibid - Goods not being 'commercial catalogue' also not classifiable under Heading 99.09 ibid, [paras 7,9,10] 5 2015 (328) E.L.T. 296 (Tri. - Mumbai) = 2015 (6) TMI 374 - CESTAT MUMBAI Printing Industry Products - Forms viz. hospital form, leave application form, reservations fo....
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....velope made of paper and printed with details of contents with certain designs and custom made for containing particular type of contents - Envelope classifiable under specific Heading 4817 of Central Excise Tariff - Leaflets and printed materials when cleared, classifiable under other printed matter under Heading 4911 of Central Excise Tariff as products of printing industry, [para 5] 10 Noti.No. 2005 (186) E.L.T. 532 (S.C.) = 2005 (8) TMI 657 - SUPREME COURT OF INDIA Books - Printed books - Designs, drawings and plans in the form of FEEP (Front End Engineering Package) imported under know-how and basic Engineering Agreement whether classifiable under Heading 49.01/49.06 of Customs Tariff Act, 1975 read with Notification Nos. 107/93-Cus. and 38/94-Cus. or classifiable under sub-heading 4911.99 ibid - CEGAT disposed off appeals merely on the basis of Larger Bench decision in case of Parasrampuria Synthetics Ltd. v. Commissioner [(Tribunal)] = 2000 (5) TMI 66 - CEGAT, COURT NO. III, NEW DELHI and not considered rival contentions on merits nor recorded findings thereon - Two Judges Bench of Supreme Court reversed decision of CEGAT in case of Parasrampuria Synthetics Ltd. - HELD....
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.... It is a technology transfer agreement which stands documented in a folder. Merely by reason of the factum of certain writings on various sheets of papers one cannot ascribe the documentation to be a 'book'. The word 'book' has not been defined in the Act but the 'book' in common acceptation is a literary composition from which one may extend or advance his or her knowledge and learning, [paras 17,18] Words and Phrases - 'Plan' in common acceptation means a drawing or diagram made by projections on horizontal plane - Law Lexicon attributes it to be a design or a sketch and is a draft or form of representation and its synonyms are sketch and design - Notification No. 25/95-Cus. [para 6] Words and Phrases - 'Drawing' in common acceptance means and includes 'art of representing by line, delineation without colour or with single colour' -Corpus Juris Secundum defines it as a representation on a plane surface, by means of lines and shades - Notification No. 25/95-Cus. [para 7] Words and Phrases - 'Design' in popular parlance is used as a synonym with plan or 'figure' and includes a sketch - Design has within its ambit many facets including a criminal design which connotes on ci....
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....ng which provides the most specific description shall be preferred to headings providing a more general description. Heading 49.01 is a specific description "printed books" as against Heading 49.11 "other printed matters", [paras 5, 6, 7] Interpretation of statutes - "Noscitur a Sociis" - Printed Books, Printed Matter -Classification - Approach of the Tribunal in Tractors and Farms Equipment Ltd.. 1993 (681 E.L.T. 234 (T) = 1993 (7) TMI 182 - CEGAT, NEW DELHI in applying doctrine of Noscitur a Sociis in relating the word "drawings" to the preceding expression "Works of Art" unsustainable - The words "works of art" do not constitute a genus or a category and hence the word "drawing" cannot derive its colour from them. - Heading 49.01 of the Customs Tariff Act, 1975. - In the absence of a genus or a category, the word "drawing" cannot draw its colour from the preceding words, namely, "work of art." They are separate and they should get their full meaning untrammelled by the word which precedes or succeeds, [para 10] Precedent Judgment under one statute - Printed Books - The plea that decision of the High Court and Supreme Court regarding "book" rendered under Income Tax Act can....
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.... not support service code dropped down for making GRN and lodging the Bill of Entry (BOE). Under no circumstances the impugned goods falls under the category of supply of service but the government was also needed to clarify as to how export obligation be fulfilled in the event of classification held under the category of services. 3.11. They finally requested that the applicants Advance Ruling application may be allowed by holding that the printed leaflets manufactured from own raw materials with contents supplied by customer and supplied on sale account to customers on principal to principal basis falls under the category of supply of goods falling under CSH No. 4901 attracting 5% GST as per Sr.No.201 of Schedule-1 of Noti.No.1/2017-CT (Rate) dated 28.6.2017. 4. Records of Personal hearing. To abide by the law of natural justice, the applicant was given chance to be heard in person and personal hearing in this case was fixed on 15.05.2018. However, the advocate of the applicant requested to postpone the date of PH on 16.05.2018. Their request was accepted and they were allowed to appear for PH on 16.05.2018. Shri Dinesh H.Mehta, advocate of the applicant appeared for the....
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....a Federation of Master Printers to its member dtd 08.08.2017 interpreting the correct classification of the product which are as under- " When the printing units are using content given by the customers, according to the department, they are prima facie engaged in producing customized printed materials and would be treated under "Supply of service' .... 5.3 We note from the said Pamplets/leaflets referred in the above para that the said pamplets have been printed to give the understanding of specific medicine. In normal parlance it is mandatory in the part of manufacturer of P.P.Medicaments to give the details of the product alog with actual product. This details is supplied in order to make aware the consumer about the contents, uses and side effects etc. of the product. Therefore, we find that primary nature of the product (leaflets) is to convey the message which is a form of Service and merits classification under SAC 9989. Our above findings can be seen from a sample leaflets printed below. 5.4 The applicant have relied upon circular No.11/11/2017-GST dtd. 20.10.2017 and has contended that SAC 9989 covers only the publishing matter attended on a fee or a contract basi....
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....ed boxes, tissues, napkins, wall paper etc. falling under under Chapter 48 or 49, printed with design, logo etc. supplied by the recipient of goods but made using physical inputs including paper belonging to the printer, predominant supply is that of goods and the supply of printing of the content [supplied by the recipient of supply] is ancillary to the principal supply of goods and therefore such supplies would constitute supply of goods falling under respective headings of under Chapter 48 or 49 of the Customs Tariff. 4. Difficulty if any, in the implementation of the circular should be brought to the notice of the Board. Hindi version would follow. Yours Faithfully, Rachna Technical Officer (TRU) Email: [email protected] 5.4.1 We note that the Para 4 of the said Circular specifically clarifies that in the case of printing of books, pamphlets, brochures, annual reports, and the like, where only content is supplied by the publisher or the person who owns the usage rights to the intangible inputs while the physical inputs including paper used for printing belong to the printer, supply of printing [of the content supplied by the recipient of supply] is the princip....
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....he contents of such circulars could also be considered as evidence available before them. On the basis of all the materials available on record including the evidence, the Assessing Authority has come to an independent finding on its own, and therefore, in our considered opinion, the matter can now be allowed to be determined by the Assessing Authority in the light of the aforesaid observations." In view of the above, the said CBEC circular is legally binding on the departmental officers; I therefore, abide by the said CBEC Circular. 5.5.3 Further in the case of M/s Ratan Melting - 2008 (10) TMI 5 - SUPREME COURT OF INDIA decision Vs Binding nature of board circulars. the Circular No. 1006/13/2015-CX dated 21.09.2015 is issued in the context of decision of Apex Court in the case of Ratan Melting & Wire Industries, the decision although rules out that circulars contrary to the statutory provisions of law are not binding even on the departmental officers from the date of judgment but at the same time this decision also pronounces that even the revenue department has right to appeal against the clarifications issued by a board circular. This leads that the board circulars are bi....
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....crocrystalline cellulose, povidone, sodium starch glycolate, methylene chloride, isopropyl alcohol and tale. INTRODUCTION This leaflet is about birth control pills that contain one hormone, a progestin Please read this leaflet before you begin to take your pills. It is meant to be used along with talking with your healthcare professional." Progestin-only pills are often called "POPS" or "the minipil". POPS have less progestin than the combined birth control pill (or "the pill") which contains both an estrogen and a progestin. HOW EFFECTIVE ARE POPs? About 1 in 200 POP users will get pregnant in the first year if they all take POPS perfectly (that is, on time, every day). About 1 in 20 "typical" POP users (including women who are late taking pills or miss pils) gets pregnant in the first year of use. Table 2 will help you compare the efficacy of different methods. Table 2: Percentage of Women Experiencing an Unintended Pregnancy During the First Year of Typical Use and the First Year of Perfect Use of Contraception and the Percentage Continuing Use at the End of the First Year. United States. Chance Spermicides³ % of Wom....
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....ered slightly (to 85%) to represent the percent who would become pregnant within one year among women now relying on reversible methods of contraception if they abandoned contraception altogether. *Foams, creams, gels, vaginal suppositories, and vaginal film. Cervical mucus (ovulation) method supplemented by calendar in the pre-ovulatory and basal body temperature in the post-ovulatory phases. With spermicidal cream or jelly. *Without spermicides. The treatment schedule is one dose within 72 hours after unprotected intercourse, and a second dose 12 hours after the first dose. The Food and Drug Administration has declared the following brands of oral contracaptives to be safe and effective for emergency contraception: Ovral (1 dose is 2 white pills), Alesse (1 dose is 5 pink pils), Nordette or Leven (1 dose is 2 light-orange pits), Lo/Ovral (1 dose is 4 white piis). Triphasir or Tri-Levier (1 dose is 4 yellow pills). "However, to maintain effective protection against pregnancy, another method of contraception must be used as soon as menstruation resumes, the frequency or duration of breastfeeds is reduced, bottle feeds are introduced, ....
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....creases this risk A meta-analysis of 54 studies found a small increase in the frequency of having breast cancer diagnosed for women who were currently using combined oral Document 2 contraceptives or had used them within the past ten years. This increase in the knows you are taking a progestin-only birth control pill. frequency of breast cancer diagnosis, within ten years of stopping use. was generally accounted for by cancers localized to the breast. There was no increase in the frequency of having breast cancer diagnosed ten or more years after cessation of use. Some studies have found an increase in the incidence of cancer of the cervix in women who use oral contraceptives. However, this finding may be related to factors other than the use of oral contraceptives and there is insufficient data to determine whether the use of POPs increases the risk of developing cancer of the cervix. Liver Tumors In rare cases, combined oral contraceptives can cause benign but dangerous liver tumors. These benign liver tumors can rupture and cause fatal internal bleeding. In addition, some studies report an increased risk of developing liver ca....
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....48 hours. If you have had a miscarriage or an abortion, you can start POPs the next day. IF YOU ARE LATE OR MISS TAKING YOUR POPS If you are more than 3 hours late or you miss one or more POPS: 1) TAKE a missed pill as soon as you remember that you missed it, 2) THEN go back to taking POPS at your regular time. 3) BUT be sure to use a backup method (such as a condom and/or a spermicide) every time you have sex for the next 48 hours. If you are not sure what to do about the pills you have missed, keep taking POPS and use a backup method until you can talk to your healthcare professional. IF YOU ARE BREASTFEEDING If you are fully breastfeeding (not giving your baby any food or formula), you may start your pills 6 weeks after delivery. If you are partially breastfeeding (giving your baby some food or formula). you should start taking pills by 3 weeks after delivery. Before taking a POP, inform your healthcare professional of any other medication, IF YOU ARE SWITCHING PILLS including over-the-counter medicine, that you may be taking. These medicines can make POPS less effective: Medicines for seizures such as: a Phenytoin (....