TaxTMI 
TaxTMI 
2020 (9) TMI 1225
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....e appliances by converting DC current into AC current with help of invertors. (f) Government of India has defined solar power generating system under chapter 85 for which 5% rate has been prescribed and no separate four digit HSN has been defined under Chapter 85. (j) they had arrived at HSN 8541 as per industry practice followed. 3. The applicant has sought advance ruling on following questions- (1) Under Chapter 85 what is the correct 4 digit HSN code classification for solar power generating system? (2) What constitutes solar power generating system under chapter 85, what are the various components and technical requirements that together constitutes solar power generating system under chapter 85? 4. As per declaration given by the applicant in Form ARA-01, the issue raised by the applicant is neither pending nor decided in any proceedings under any of the provisions of the Act, against the applicant. 5. The application for advance ruling was forwarded to the Jurisdictional GST Officer to offer their comments/views/verification report on the matter. The Deputy Commissioner, CGST & Central Excise Division, Aligarh submitted his views vide his C.No.V(30)Tech/Adv Ruling/....
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....the ambit of the said system, judicial pronouncement under the excise law can be examined; 1.7 that reference is made to judgment of Delhi Tribunal in the case of Rajasthan Electronics and instrument limited v/s Commissioner of Central Excise Jaipur, wherein it was held "7. The Adjudicating Authority admitted the fact that the Solar Photovoltaic module is a "Solar Power Generating System";..... that other parts are only panel housing consisting of controller and switches. Hence the whole system is a "Solar Power Generating System" and is entitled for the benefit of Notification; 1.8 that in the case of Bangalore Tribunal, in the case of BHEL v/s Commissioner of Central Excise, Hyderabad, it was held that "in the present case the appellant has claimed exemption in respect of Inverter Charger Card as "Solar Power Generating System". The appellant actually manufactured SPV Lantern. The above Lantern required electricity for its working. It is possible to convert solar energy to electricity with the help of inverter charger manufactured by the appellant. The Deputy General Manager has certified that the inverter merger constitute "Solar Power Generating System", as it performs the fu....
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....ergy of sun into electricity. (ii) Inverters: The electricity produced in a solar panel is DC. Electricity we get from the grid supply is AC. So it is required to install an inverter to convert DC of solar system to AC of same level as grid supply. In off grid system the inverter is directly connected across the battery terminals so that DC coming from the batteries is first converted to AC then fed to the equipment. In grid tie system the solar panel is directly connected to inverter and this inverter then feeds the grid with same voltage and frequency power. (iii) Controller: This is not desirable to overcharge and under discharge a lead acid battery. Both overcharging and under discharging can badly damage the battery system. To avoid these both situations a controller is required to attach with the system to maintain flow of current to and from the batteries. (iv) Battery: The battery is charged by solar electricity and this battery then feeds a load directly or through an inverter. In this way variation of power quality due to variation of sunlight intensity can be avoided in solar power system instead an uninterrupted uniform power supply is maintained. 2.2 The Hon'....
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....being under the `CGST Act'. 8. We have gone through the submissions made by the applicant and have examined the explanation submitted by them. At the outset, we find that the issue raised in the application is squarely covered under Section 97(2)(a) of the CGST Act 2017 being a matter related to classification of goods. We therefore, admit the application for consideration on merits. 9. We observe that the applicant has sought advance ruling on the issue Under Chapter 85 what is the correct 4 digit HSN code classification for solar power generating system? The applicant has arrived the classification of the same under Chapter 8541 as per industry practice and the jurisdictional officer has opined that classification of the same falls under chapter 8541 or 8543 depending upon the actual use. As per Customs Tariff Act, 1975 the HSN 8541 has been defined as under: 8541- DIODES, TRANSISTORS AND SIMILAR SEMI-CONDUCTOR DEVICES; PHOTO SENSITIVE SEMI-CONDUCTOR DEVICES; INCLUDING PHOTO VOLTAIC CELLS, WHETHER OR NOT ASSEMBLED IN MODULES OR MADE UP INTO PANELS; LIGHT EMITTING DIODES; (LED); MOUNTED PIEZO-ELECTRIC CRYSTALS. ------------ 854140- Photosensitive semi-conductor devices....
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....install an inverter to convert DC of solar system to AC of same level as grid supply. In off grid system the inverter is directly connected across the battery terminals so that DC coming from the batteries is first converted to AC then fed to the equipment. In grid tie system the solar panel is directly connected to inverter and this inverter then feeds the grid with same voltage and frequency power. (iii) Controller: This is not desirable to overcharge and under discharge a lead acid battery. Both overcharging and under discharging can badly damage the battery system. To avoid these both situations a controller is required to attach with the system to maintain flow of current to and for the batteries. (iv) Battery: The battery is charged by solar electricity and this battery then feeds a load directly or through an inverter. In this way variation of power quality due to variation of sunlight intensity can be avoided in solar power system instead an uninterrupted uniform power supply is maintained. 12. The Ministry of New and Renewable Energy (MNRE) in various instances has also approved entire BOQ consisting of various parts e.g. cables, module, monitoring structures, spares ....