TaxTMI 
TaxTMI 
2023 (3) TMI 1320
X X X X Extracts X X X X
X X X X Extracts X X X X
....ity to pay tax on any goods or services or both. Further, proviso with reference to the Section 98(2) of CGST Act, 2017 states that where the questions raised in the application is already pending or decided in any proceedings in the case of the applicant under any provision of this Act, the application may be rejected by the Advance Ruling Authority after providing an opportunity of being heard to the applicant. And in this case, the applicant has undertaken in form ARA-01 that the issue is neither pending nor decided in any proceedings under any of the provisions of the Act. Besides the applicable fees in the case has been paid. So, he is eligible to seek an Advance Ruling under the above provisions and the case is being heard on merits. Statement of facts as per ARA-01 1. That the Applicant company is engaged in the manufacturing of Rubber and PVC Mats, flaps & components for domestic & automobile industry at Dharuhera, Haryana. 2. That the Applicant now proposes/intends to manufacture PVC Cushion foot mats also. First, Cushion mats in Rolls (in running length), made up of 100% PVC with no Textile materials used, shall be procured from the vendors. These rolls then s....
X X X X Extracts X X X X
X X X X Extracts X X X X
....applicant seem to be specifically covered under HSN 3918 as Floor Coverings of PVC in terms of Rule 1 of the Rules of Interpretation of Customs Tariff. 9. That the Applicant is amply supported in their above contention by the judicial pronouncements/Rulings recently rendered in many recent cases. And to rule out the ambiguity in the classification and tax structure on PVC Cushion foot mats before the proposed commercial start of production/manufacture is being sought. Applicant's interpretation of Law on the issue at hand:- 1. The view of the Applicant is that the PVC cushion Mats proposed to be manufactured by us seems to be specifically covered under Chapter 39; HSN 3918 for Floor Coverings of PVC is amply supported by the provisions of Rule 1 of the Rules of Interpretation of Customs Tariff as explained in detail here in above and the case laws squarely covering this issue. 2. The Applicant would like to mention that in the case C.C.E, Delhi-III Vs. Uni Products India Ltd .- 2020 (372) E.L.T. 465 (S.C.), Hon'ble Supreme Court has clearly held that- "Chapter 87 ibid does not contain car mats as independent Tariff Entry -All mechanical components covered und....
X X X X Extracts X X X X
X X X X Extracts X X X X
....ing itself in the case of Stinzo Automotives Pvt. Ltd .- 2021 (47) G.S.T.L. 311 (A.A.R. - GST - Haryana) holding that "Detachable PVC foot mats used for motor vehicles sold in detachable condition as stand-alone products and where cotton not used in manufacturing of these mats and they are not handmade, covered under Chapter 39 and sub-heading 4904 10 of Customs Tariff taxable at 18% (CGST 9%, HGST 9%). The above cited precedent case law is squarely applicable in favour of the Applicant. Questions on which Advance Ruling has been sought:- 1. To clarify as to whether PVC Cushion mats for motor vehicles (with no Textile material to be used in these) after cutting to size from rolls, to fit in vehicle floors as per the requirement of the buyers and packing shall fall under HSN Code 39181090/39041090 or 87089900 attracting GST at the rate 18% [9% (CGST) and 9% (SGST)] or 28% [14% (CGST) and 14% (SGST)] respectively in terms of Notification No. 1/2017-Central Tax(Rate) dated 28.06.2017 and Notification No. 1/2017-Statc Tax(Rate) dated 28.06.2017 or tax/ any other rate as may be applicable as per law. 2. If the PVC Cushion mats are received by the Applicant from their supplie....
X X X X Extracts X X X X
X X X X Extracts X X X X
....01 to 8707 are related to motor vehicle including cars and Heading 8708 includes Parts and accessories of the motor vehicles of headings 8701 to 8705 [other than specified parts of tractors]. (B) "Recently the HARYANA AUTHORITY FOR ADVANCE RULING GOODS SERVICE TAX vide its ADVANCE RULING order no. HAR/HAAR/R/201819/44 dated 14.03.2019 in the case of M/s STINZOAUTOMOT/VES PVT LTD has held that the PVC foot mats manufactured and supplied by the applicant fall under Chapter 39, Sub-Heading 490410, taxable at 18% GST" and the question before the AAR was "Whether the detachable foot mats used for motor vehicles, manufactured from PVC including TPU/Foam and sold in detachable condition as standalone products are taxable at 12% or 18%?" In the present case, as submitted by the applicant that primary raw material used in the manufacturing the good in consideration is "PVC", hence a view can be formed that the goods arc specifically classified in the said entry. In the Schedule for goods taxable to GST at various rates as found in the Notification no. 1/2017-Central/State Tax (Rate), the following entries may be looked at -As per the GST Tariff, the products which are classifiable und....