TaxTMI 
TaxTMI 
2022 (9) TMI 205
X X X X Extracts X X X X
X X X X Extracts X X X X
....nd differ from each other only on a few specific provisions. Therefore, unless a mention is particularly made to such dissimilar provisions, a reference to the CGST Act, 2017 would also mean reference to the corresponding similar provisions in the GGST Act, 2017. 2. The present appeal has been filed under Section 100 of the CGST Act, 2017 and the GGST Act, 2017 by M/s. Adarsh Plant Protect Ltd (hereinafter referred to as the Appellant) against the Advance Ruling No. GUJ/GAAR/R/25/2021 dated 09.07.2021. 3. The appellant has applied for Advance Ruling for determining the HSN and applicable tax on 'Agricultural manually hand operated Seed dressing, Coating and Treating drum'. 4. The appellant has submitted that these manually operated....
X X X X Extracts X X X X
X X X X Extracts X X X X
....s 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 ther....
X X X X Extracts X X X X
X X X X Extracts X X X X
....r material available on record. 9. The main issue to be decided here is the classification of the product viz. "Agricultural manually hand operated Seed dressing, Coating and Treating drum" and to decide applicable rate of GST on the same. 10. We find that the classification of goods under GST regime has to be done in accordance with the Customs Tariff Act, 1975, which in turn is based on Harmonized System of Nomenclature, popularly known as 'HSN'. The General Rules of Interpretation, Section notes and Chapter notes as specified under the Customs Tariff Act, 1975 are also applicable for deciding classification of goods under the GST regime. However, once an item is classified in accordance with the Customs Tariff Act, 1975, the rate o....
X X X X Extracts X X X X
X X X X Extracts X X X X
....ETABLES; MACHINERY USED IN THE MILLING INDUSTRY OR FOR THE WORKING OF CEREALS OR DRIED LEGUMINOUS VEGETABLES, OTHER THAN FARM-TYPE MACHINERY. 11.1 The relevant abstract from HSN with reference to Chapter 8201 is given below: "The Chapter covers tools which can be used independently in the hand, whether or not they incorporate simple mechanisms such as gearing, crank-handles, plungers, screw mechanisms or levers. Appliances are, however, generally classified in Chapter 84 if they are designed for fixing to a bench, a wall, etc., or if by reason of their weight or size or the degree offered required for their use, they are fitted with base plates, stands, supporting frames, etc., for standing on the floor, bench, etc." 11.2 The....
X X X X Extracts X X X X
X X X X Extracts X X X X
....h is not covered under Chapter 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 84....