TaxTMI 
TaxTMI 
2022 (12) TMI 510
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....velopment Bodies, Gram Panchayats and to contractors to whom operation & maintenance contract has been awarded by these Govt, bodies under Swachh Bharat Mission, for collection and disposal of household garbage, are classifiable under Tariff Item 8705.90.00 of the First Schedule to the Customs Tariff Act, 1975 (51 of 1975) as Special Purpose Motor Vehicles or is classifiable under any other appropriate Tariff item? b. Whether the above mentioned Garbage Tipper vehicles would attract IGST @ 18% under Sr. No. 401A under Schedule III of IGST Rates specified under Notification No. 1/2017-lntegrated Tax (Rate), dated 28.06.2017, as amended? c. If answer to question (b) above is in negative, what IGST rate would be applicable on the above mentioned Garbage Tipper vehicles? At the outset, we would like to make it clear that the provisions of both the CGST Act and the MGST Act are the same except for certain provisions. Therefore, unless a mention is specifically made to any dissimilar provisions, a reference to the CGST Act would also mean a reference to the same provision under the MGST Act. Further to the earlier, henceforth for the purposes of this Advance Ruling, ....
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....ricks 8705 30 00 Fire fighting vehicles 8705 40 00 Concrete-mixer lorries 8705 90 00 Other" A copy of relevant abstract for Chapter Heading 8705 is enclosed & marked as Annexure '4' 2.7 As per Harmonized System of Nomenclature (HSN), the heading 8705 covers range of motor vehicles, specially construed or adapted, equipped with various devices that enabled them to perform certain non-transport functions i.e. the primary function of a vehicle of this heading is not the transport of persons or goods. These vehicles cover trucks used for cleaning streets, gutters, airfield runways etc. (sweepers, sprinklers, sprinkler-sweepers & cesspool emptier), break down lorries, crane lorries, fire fighting vehicles, concrete-mixers lorries, spraying lorries, mobile workshops, mobile radiological units etc. 2.8 In exercise of the power conferred by Section 5(1) of the Integrated Goods and Services Tax Act, 2017 (in short IGST Act), the Central Government has issued Notification No. 1/2017-lntegrted Tax (Rate) dated 28.06.2017 as amended. The IGST rate on goods are specified in various Schedules notified by the said Notification. 2.9 For Special Purpose Motor V....
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....er the MGST Act and IGST Act. 1.3. Section 95 to 106 of the CGST Act, 2017 enunciated under Chapter XVII cover Advance Ruling and its appeals. The definitions and questions on which advance ruling is sought is provided under Section 95 and 97 respectively. The relevant sections are extracted below:- Section 95. Definitions: In this Chapter, unless the context otherwise requires,- (a) "advance ruling" means a decision provided by the Authority or the Appellate Authority or the National Appellate Tribunal to an applicant on matters or on questions specified in sub-section (2) of section 97 or sub-section (1) of section 100 or of Section 101C, in relation to the supply of goods or services or both being undertaken or proposed to be undertaken by the applicant; (c) "applicant" means any person registered or desirous of obtaining registration under this Act; Section 97. Application for advance ruling: (1) An applicant....................... (2) The question on which the advance ruling is sought under this Act, shall be in respect of,- (a) classification of any goods or services or both; (b) applicability of a not....
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....lines. The bodies are designed with tarpaulin/ hard metallic cover to transfer garbage under covered condition as per NGT guidelines. Also, these vehicles have exclusive features of Power Take off (PTO) through gear box for operating hydraulic tipping equipment. 2.5 Also, in view of its exclusive use for garbage application, 60:40/ 70:30 partition for segregation of DRY waste & WET waste at source (while collecting it from lanes/houses), the vehicle cannot be said to have principally designed to carry persons or goods. Hence, this vehicle would merit classification under Chapter sub-heading 87.05. 2.6 Also, as per Explanatory Notes to Harmonized System of Nomenclature (HSN), the heading 8705 covers range of motor vehicles, specially construed or adapted, equipped with various devices that enabled them to perform certain non-transport functions, i.e. the primary function of a vehicle of this heading is not the transport of persons or goods. 2.7 The Applicant further state that the impugned vehicle is designed for specific garbage application. 2.8 The Customs Tariff is aligned, up to 6 digit level, with the Harmonized System of Nomenclature (HSN in short) issued by the Wo....
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....he duly approved legal submissions on the questions of the applicant are provided as under: In the application No 83 dated 24.03.2021, the subject applicant vide para 2.5 of the application stated that the ARAI has issued Certificate No AAPN 0001 F01 dated 15.01.2020 for chassis of Tata Ace Garbage Tipper Vehicles wherein various application/variants of these vehicles are certified. However, the ARAI certificate enclosed with the application is Certificate No AAPN0001F01 dated 15.09.2020. On enquiring with the applicant about the different dates shown in the application & certificate, the applicant vide email dated 17-11-2021 clarified that the typo error in mentioning date of the Certificate issued by ARAI is mentioned as 15.01.2020 in Para 2.5 of Annexure 'A' of the ARA-01 application from instead of 15.09.2020. The certificate No. AAPN0001F01 dated 15.09.2020 in short mentions the name of Base Model as TATA ACE GOLD PETROL BS-VI and the type of vehicle as Goods Carrier having GVW 1615 Kg. Further on going through the layout of TATA ACE GOLD PETROL CAB CHASSIS BOX TIPPER it appears that the said vehicle can be used for transportation of any goods includi....
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....ative, appeared made oral and written submissions. Jurisdictional Officer Smt. Vidya Patwardhan, Superintendent, Range-V, DIV-II, PUNE-I, Appeared. We heard both the sides. 05. OBSERVATIONS AND FINDINGS: 5.1. We have gone through the facts of the case, documents on record, oral and written submissions made by the applicant as well as the submissions made by the jurisdictional officer. 5.2. Applicant stated that the Chapter sub-heading 8705 covers special purpose vehicles and defines special purpose vehicles as other than those principally designed for the transport of persons or goods. Few illustrative examples of vehicles which would be covered under this heading are also given in this sub-heading. These vehicles cover trucks used for cleaning streets, gutters, airfield runways etc. (sweepers, sprinklers, sprinkler-sweepers & cesspool emptier), break-down lorries, crane lorries, fire fighting vehicles, concrete-mixers lorries, spraying lorries, mobile workshops, mobile radiological units etc. 5.3. Applicant further stated that the Garbage Tipper vehicles are specially / exclusively designed for garbage application and for use by Govt. Bodies. The Garbage Tipper vehicle....
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....of refuse is similarly no less a refuse truck than is one designed with a fixed body. Compacting refuse collectors are included in the kinds of motor vehicles in heading 8704. The jurisdiction officer further submitted that:- "In this case, the applicant has submitted Certificate No AAPN0001F01 dated 15.09.2020 issued by ARAI showing the type of the vehicle as Goods Carrier. The chapter heading 8705 specifies special purpose vehicles, other than those principally designed for the transports or goods. From the above, it can be seen that the vehicle manufactured by the applicant is a goods carrier and cannot be termed as a special purpose vehicles as claimed by the applicant. In the tariff heading 8705, It is clearly shown that what could be the vehicles like Breakdown Lorries, Crane Lorries, Fire fighting Vehicles, Concrete Mixer Lorries, Spraying Lorries, Mobile Workshops, Mobile Radiological Units and Tata Ace Garbage Tipper vehicle cannot be compared with them or it can be termed as a similar vehicle." After perusal of above referred to Certificate dated 15/9/2020 it is seen that in the column of Type of vehicle it is mentioned as "goods carrier". Thus, as pe....