TaxTMI 
TaxTMI 
2023 (9) TMI 1196
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....ta, Satin etc. which are available with width ranging from 10 millimetre to 810 millimetre, as described in Table-A. TABLE-A Sl. No. Product Specification Size in mm 1 Nylon Taffeta Roll 45 2 Nylon Taffeta Roll 30 3 Nylon Taffeta Roll 127 4 Nylon Taffeta Roll 25 5 Nylon Taffeta Roll 25 6 Nylon Taffeta Roll 32 7 Nylon Taffeta Roll 64 8 Nylon Taffeta Roll 38 9 Nylon Taffeta Roll 40 10 Nylon Taffeta Roll 38 11 Nylon Taffeta Roll 32 12 Nylon Taffeta Roll 32 13 Nylon Taffeta Roll 25 14 Nylon Taffeta Roll 10 15 Nylon Taffeta Roll 204 16 Nylon Taffeta Roll 153 17 Nylon Taffeta Roll 102 18 Single Side Oven Edge Polyester-Satin Roll 28 19 Single Side Oven Edge Polyester-Satin Roll 25 20 Tearaway Taffeta Roll 35 21 Single Side Oven Edge Polyester-Satin Roll 32 22 Single Side Slit polyester Satin Roll 12 23 Single Side Oven Edge Polyester-Satin Roll 45 24 Single Side Oven Edge Polyester-Satin Roll 15 25 Iron on Taffeta Roll 30 26 Iron on Taffeta Roll ....
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....tinuous activity in future, as well. Accordingly, the applicant seeks advance ruling on the classification and applicability of tariff entry & Customs/IGST notification respectively on the products proposed to be imported by the applicant. 2.2 The applicant in the CAAR-I form has sought the advance ruling as to : (a) Whether the products proposed to be imported can be classified under Chapter HSN Code 5807 10? (b) If answer to (a) above is negative, what is the classification of the products? (c) Whether the products are covered by Entry No. 147 of Notification No. 82/2017-Cus., dated 27-10-2017 and Entry No. 153 of Schedule II of Notification No. 1/2017-IGST (Rate), dated 28 June, 2017? (d) If answer to (c) above is negative, what is the basic Customs duty under First schedule of the Customs Tariff Act, 1975 and IGST rate under sub-section (7) of Section 3 of the said Customs Tariff Act read with Notifications issued on import of the products? Since the applicant intends to import the said goods through Nhava Sheva Port, comments from the jurisdictional Principal Commissioner/Commissioner of Customs were invited. 3. The personal he....
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.... Subject to the conditions specified below this heading covers : (A) Labels of any textile material (including knitted). These include labels of a kind used for marking wearing apparel, household linen, mattresses, tents, soft toys, or other goods. They are utilitarian labels bearing individual inscriptions or motifs. Such labels include, inter alia, commercial labels bearing the trade name or trademark of the manufacturer or the nature of the constituent textile ("silk", "viscose rayon" etc.) and labels used by private individuals (boarding school pupils, soldiers, etc.) to identify their personal property; the latter variety sometimes bear initials or figures or comprise sometimes a framed space to take a hand-written inscription. (B) xx       xx       xx The above articles are classified in this heading only if they fulfil the following conditions : (1) They must not be embroidery. The inscriptions or motifs on the articles classified here are generally produced by weaving (usually broche work) or by printing. ....
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....No. 1/2017-IGST (Rate), 28 June, 2017 is not applicable for goods. (d) For narrow woven fabrics made of man-made fibers, the total duty rate is 28.10% (BCD : 20% + SWS: 10% + IGST : 5%). For woven fabrics other than narrow woven fabrics, Basic Customs Duty under First schedule of the Customs Tariff Act, 1975 and IGST rate under sub-section (7) of Section 3 of the said Customs Tariff Act will vary as per the composition and characteristics of the items imported and respective duties as per the classification mentioned in the Customs Tariff Act, 1975. It is important to note that the jurisdictional Commissionerate has not commented upon or responded to the case laws quoted by the applicant. 5. The comments of the jurisdictional Commissioner were shared with the applicant for their rebuttal/rejoinder, if any. The applicant, vide email dated 5-12-2022 has submitted their rejoinder, whereby they have stated that the Commissioner of the customs, NS-III, vide letter dated 14-11-2022 has made an observation that the fabric proposed to be imported do not have the essential character of the label i.e., no inscriptions or motifs are found inscribed on the....
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....CTH 5807 10 provides and covers labels and similar articles. Notwithstanding the submission above, if it is not label in strict sense in that case also the material imported can be said similar to label. Similar view is taken by the Hon'ble High Court in the case of Bijay Kumar Poddar (supra). The relevant extract of the decision is reproduced below : 21. In Collector of Central Excise, Shillong v. Wood Craft Products Ltd. - 1995 (77) E.L.T. 23 (S.C.) considered words and phrases similar and same. In para 15 their Lordships observed as under :- "15. The meaning of the expression "similar laminated wood" in the heading "Plywood, veneered panels and similar laminated wood, given in the explanatory note to the HSN for Heading No. 44.12 therein, identical to Heading No. 44.08 in the Indian Tariff is also in accord with the general meaning of the relevant words used in that expression. The headings means that it covers "Plywood" and "veneered panels" together with all kinds of "similar laminated wood". In other words, treating "plywood" or "veneered panels" as "laminated wood", it covers all kinds of laminated wood bearing any resemblance with "plywood" or "v....
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....ets smudged. Further it is important that the information printed should stay for longer period and even after washing. The fabric undergoes a process like fabric washing by aqua hydrogen dioxide liquid caustic, dyeing, fluorescent bleacher, high pressure calendaring or by coating which enable printing on the same. The said processes/coating on the fabric facilitates printing on the fabric, which is later stitched to the products. It is submitted that the coated/processed side of the Rolls shines compared to the other side. 5.6 In view of the above, it is submitted that the Rolls with coating/processing either on one side or both sides are meant only for the purpose of use as labels to capture product/supplier/wash care information. Therefore, the Rolls proposed to be imported shall be classified as 'labels' or 'similar articles' as the Chapter Tariff Heading 5807 10 specifically covers all the products used as labels or similar articles. 5.7 It is submitted that the products are known as 'labels' in trade parlance. It can be observed from the name of the trade name of the supplier i.e., KING - Label fabric solution and Five Star label. It is submitted that it is we....
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....aid products merit classification under CTH 5806 32 00 for products made of manmade fibres and narrow woven fabrics of a width not exceeding 30 cms, whereas, the applicant is seeking the classification of the said products under CTH 5807 10. I also find that there is only one item in their list of products which has width exceeding 30 cms. Therefore, in this context, it is necessary to examine the contending tariff heading for the said products. 6.1 Chapter Heading 58.06 covers Narrow woven fabrics, other than goods of Heading 58.07; narrow fabrics consisting of warp without weft assembled by means of an adhesive (bolducs). 5806 10 00 - Woven pile fabrics (including terry towelling and similar terry fabrics) and chenille fabrics 5806 20 00 - Other woven fabrics, containing by weight 5% or more of elastomeric yarn or rubber thread - Other woven fabrics : 5806 31 -- Of cotton : 5806 32 00 -- Of manmade fibres 5806 39 -- Of other textile materials : 5806 39 90 --- Other 5806 40 00 - Fabrics consisting of warp without weft assembled by means of an adhesive (bolducs) In order to understand the scop....
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....ng excludes : (a) Bandages, medicated or put up in forms or packings for retail sale (heading 30.05). (b) Narrow woven fabrics with woven fringes, braided galloons and braids (heading 58.08). (c) Narrow woven fabrics more specifically covered by other headings, e.g., those having the character of : (1) Woven labels, badges and similar articles, in strips (heading 58.07 or 58.10) 6.2 Chapter Heading 58.07 covers labels, badges and similar articles of textile materials, in the piece, in strips or cut to shape or size, not embroidered. 5807 10 - Woven 5807 10 10 --- Of cotton 5807 10 20 --- Of man-made fibre 5807 10 90 --- Other 5807 90 - Other As per HSN Explanatory notes to CTH 58.07, subject to the conditions specified below, this heading covers : (A) Labels of any textile material (including knitted). These include labels of a kind used for marking wearing apparel, household linen, mattresses, tents, soft toys, or other goods. They are utilitarian labels bearing individ....
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....ve sizes ranging from 10 mm to 305 mm and can be considered as narrow woven fabric but for the exclusion clause whereby it is mandated that this heading excludes : (c) Narrow woven fabrics more specifically covered by other headings, e.g., those having the character of (1) Woven labels, badges and similar articles, in strips (heading 58.07 or 58.10). The HSN Explanatory notes to CTH 58.07, subject to the conditions specified, cover the labels of any textile material. These include labels of a kind used for marking wearing apparel, household linen, mattresses, tents, soft toys, or other goods. They are utilitarian labels bearing individual inscriptions or motifs. Such labels include, inter alia, commercial labels bearing the trade name or trade mark of the manufacturer or the nature of the constituent textile ("silk", "viscose rayon", etc.) and labels used by private individuals (boarding school pupils, soldiers, etc.) to identify their personal property; the latter variety sometimes bear initials or figures or comprise sometimes a framed space to take a hand written inscription. Condition that these products must not be embroidery. Goods will not have embroidery on....
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....decision in the case of Atul Glass Industries Ltd. and Others v. Collector of Central Excise and Others - 1986 (25) E.L.T. 473 (S.C.) = 1986 taxmann.com 522 (S.C.) wherein Para 8 their Lordships observed as under :- "8. The test commonly applied to such cases is: How is the product identified by the class or section of people dealing with or using the product? That is a test which is attracted whenever the statute does not contain any definition. ... ... .... It is generally by its functional character that a product is so identified. ... ... ..... When a consumer buys an article, he buys it because it performs a specific function for him. There is a mental association in the mind of the consumer between the article and the need it supplies in his life. It is the functional character of the article which identifies it in his mind. In the case of a glass, mirror, the consumer recalls primarily the reflective function of the article more than anything else. It is a mirror, an article which reflects images. It is referred to as a glass mirror only because the word glass is descriptive of the mirror in that glass has been used as a medium for manufacturing the mirror. The....