TaxTMI 
TaxTMI 
TaxTMI 
2025 (12) TMI 1394
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....ings for classification of the goods in question under 61072210 (Men's Pyjamas) and 61083220 (Women's Pyjamas) respectively. 1. The applicant in their application, submitted as under: - 1.1 The Applicant is a private limited company registered in India under the Companies Act, 1956 and engaged in the sale of clothing apparels such as t-shirts, trousers, jackets, etc. imported into the territory of India. The Applicant proposes to import Knitted Fleece L/S: Knit - Tops/ 100% Polyester, Bottoms/ Body/ Pocket Lining/ 100% Polyester for Men & Women ('Lounge Set'). Currently, the applicant has been importing similar Lounge Sets into the territory of India. 1.2. The Lounge Set proposed to be imported by the Applicant consists of a top and a bottom which are composed of 100% Polyester material. Both the top and bottom are knitted in fleece fabric. 1.3. Fleece is a type of a synthetic fabric, made up of polyester. The fabric mimics the warmth and softness of natural fleece but is entirely man-made. The production process involves creating polyester fibres through a chemical reaction, which are then knitted into a light, fluffy fabric that is brushed to enhance i....
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....nted together as a set and shall also be sold to the customers as a set. Statement containing Applicant's interpretation of law and/or facts, as the case may be, in respect of the question(s) on which advance ruling is required 1.12. Applicant's Eligiblity For Advance Ruling 1.12.1. In order to file an application before the Customs Authority for Advance Rulings, the Applicant must satisfy the conditions prescribed under the Customs Act, 1962 ('Customs Act'). 1.12.2. The provisions related to Advance Ruling are prescribed under Chapter VB of the Customs Act. Clause (c) of Section 28E of the Customs Act defines an "Applicant" as :- In this chapter, unless the context otherwise requires- (c) "applicant" means- i. Holding a valid Importer Exporter Code Number granted under section 7 of the Foreign Trade (Development and Regulation) Act, 1992 (22 of 1992); or ii. Exporting any goods to India; or iii. With a justifiable cause to the satisfaction of the Authority, who makes an application for advance ruling under section 28H. 1.12.3. In the present case, the Applicant possesses a valid IEC number AACCU2454P. Therefore, it falls un....
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....ction of this Authority is not ousted by proviso to Section 28-1(2) of the Customs Act." 1.12.9. The above advance ruling has also been approved by the Hon'ble High Court and Supreme Court. 1.12.10. It is also noteworthy that the Hon'ble CAAR, Delhi has also issued advance rulings in cases where imports of similar products were made prior to filing of the Advance Ruling Application. Reliance is placed on the following rulings: i. Advance Ruling No. CAAR/Del/Nikon/21/2023-460 to 465 dated 19.09.2023 - Re: Nikon India Pvt. Ltd. ii. Advance Ruling No. CAAR/Del/Amazon/15/2023 dated 12.07.2023 - Re: Amazon Wholesale India Pvt. Ltd. 1.12.11. The questions on which an application for an advance ruling can be made have been provided under Section 28H of the Customs Act. As per the said Section 28H(2) of the Customs Act, an applicant may make an application for advance ruling in respect of questions relating, inter alia, to: (a) Classification of goods under the Customs Tariff Act, 1975; (b) the principles to be adopted for the purposes of determination of value of the goods under the provisions of this Act. 1.12.12. From the afore-sta....
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....hing accessories knitted or crocheted. Chapter 62 covers articles of apparel and clothing accessories, not knitted or crocheted. 1.14.4. In the present case, the Lounge Set proposed to be imported by the Applicant consists of one top (pullover type) and one bottom (trousers) which are made up through the process of knitting the polyester fabric. Hence, the applicable chapter for the purpose of classification of the Lounge Set will be Chapter 61. CTH 6107 / 6108. 1.14.5. Section Note 14 to Section XI provides guidance for classification of textile garments put up in sets for retail sale. The extract of Section Note 14 is reproduced below for ready reference: 14. Unless the context otherwise requires, textile garments of different headings are to be classified in their own headings even if put up in sets for retail sale. For the purposes of this Note, the expression "textile garments" means garments of headings 6101 to 6114 and headings 6201 to 6211. 1.14.6. As can be seen from the afore-mentioned section note, the textile garments of different headings are to be classified in their own headings even if put up in sets for retail sale, unless the context otherwise re....
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....d nightshirts, pyjamas, bathrobes (including beachrobes), dressing gowns and similar articles." 1.14.11. The HSN Explanatory Notes to CTH 6108 is reproduced below: "This heading covers two separate categories of knitted or crocheted clothing for women or girls, namely slips, petticoats, briefs, panties and similar articles (underclothing) and nightdresses, pyjamas, negligés, bathrobes (including beachrobes), dressing gowns and similar articles" 1.14.12. As can be seen from above extracts, CTH 6107 and CTH 6108 inter alia covers knitted pyjamas for men and women, respectively. Definition of 'pyjamas' is not provided for either in Chapter 61 or Section XI. 1.14.13. Reliance is placed on the Customs Classification of Textiles and Textile Articles under HSN - Explanatory Notes, 1st Edition, 2007 published by Mr. Ajay Kumar Gupta, B. Textiles (T.I.T. Bhiwani - 1986 Batch); Indian Revenue Service. The book has been published with an aim to demystify and simplify the classification of textiles and textile articles. 1.14.14. The above-mentioned book at Pg. 391, while discussing the scope of Chapter 61, provides for an elaborate definition and features of....
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....on. Therefore, the Applicant is of the understanding that the definition of 'pyjamas' is satisfied. 1.14.17. Furthermore, the Applicant is herewith establishing as to how the Lounge Set has the same features as that of Pyjamas (as extracted above): * The Lounge Set consists of a garment intended to cover the upper part of the body (pullover, with or without buttons). * The Lounge Set consists of a trouser bottom to cover the lower part of the body and comes with a simple cut with no opening. * The components of the Lounge Set are of compatible size and of constituent fabric. * Lastly, the Lounge Set is identifiable as being 'comfortable' for wear as night wear due to the nature of fabric (knit fleece fabric), has loose fitting cut and has no uncomfortable features such as large or bulky buttons and applied decorations. 1.14.18. In the present case, as submitted above, the top and the bottom are made up of fleece material which makes it comfortable to be worn at bed. The pullover type top is loose fitted with a round neckline and it may or may not feature buttons. Similarly, the bottom is also loose fit and it comes with an e....
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....lymers such as cuprammonium rayon (cupro) or viscose rayon, or by chemical modification of natural organic polymers (for example, cellulose, casein and other proteins, or alginic acid), to produce polymers such as cellulose acetate or alginates. The terms "synthetic" and "artificial", used in relation to fibres, mean: synthetic: fibres as defined at (a); artificial: fibres as defined at (b). Strip and the like of heading 54.04 or 54.05 are not considered to be man-made fibres." 1.14.25 As per clause (a) of Note 1 to Chapter 54, polyester is a synthetic fibre. Since, both the pullover and the bottom of the Lounge Set are made ups of 100% polyester, these articles, for the purpose of classification will be considered to be made of 'synthetic fibre'. In view of the same, at the eight-digit level, the Lounge Set for Men will be classified under CTI 6107 22 10. 1.14.26. Similarly, by application of the above, the Lounge Set for Women will be classified under CTI 6108 32 10 at the eight-digit level. 1.15. Issues Requiring Advance Ruling And Applicant's Understanding 1.15.1. In light of the aforementioned, the Applicant seeks to enter the following questio....
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.... made by the importer in CAAR-1, the import of the impugned goods is a proposed activity only. 3(iv) Comments on merit: (1) For the item to be declared as Pyjamas for men classifiable under 6107 depending on material viz. of cotton, of man-made fibres, of synthetic fibers or of artificial fibers as "Night shirts and pyjamas" And for the item to be declared as Pyjamas for women classifiable under 6108 depending on material viz. of cotton, of man-made fibres, of synthetic fibers or of artificial fibers as "Night dresses and pyjamas" The Explanatory notes to heading 6107 which serve as authoritative interpretive guidance provides: "This heading covers two separate categories of knitted or crocheted clothing for men or boys, namely, underpants, briefs and similar articles(underclothing) and nightshirts, pyjamas, bathrobes (including beach robes), dressing gowns and similar articles". The Explanatory notes to heading 6108 which serve as authoritative interpretive guidance provides: "This heading covers two separate categories of knitted or crocheted clothing for women or girls, namely, slips, petticoats, briefs, panties and similar a....
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....lassified under 6109: T shirts, singlet and other vests knitted or crocheted wherein Basic Customs duty is 20% or Rs 45/50 per piece, whichever is higher depending upon the composition of fabric used. The lower part/Pyjamas should be classifiable in 6107(in case of men) or 6108(in case of women). 2.4. Based on the application of HSN codes, Explanatory notes and material available at various fora, the Lounge set should be classified in various headings depending upon composition, type of fabric, actual intended use of the lounge set, design, shape, colour, size and constituent materials. Records of Personal Hearing in the matter 3. Personal hearing in the matter was conducted through physical mode on 13.06.2025 wherein the authorized representative of the applicant attended the same and reiterated on the facts already mentioned in the application and also explained the descriptions of the product. During the course of PH, it has been noticed that the upper and bottom of lounge set is of different colours. Accordingly, AR agreed to file the rejoinder to establish the identical nature of top and bottom of the lounge set to decide merit classification. Further, no one joine....
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....cation: 4.6. The lounge sets are appropriately classifiable as "pyjamas" under CTI 6107 22 10 (for men) and 6108 32 10 (for women) of the tariff act. 4.6.1. As submitted in the application and during the course of personal hearing, the Lounge Sets satisfy the requirements of being considered as "Pyjamas" due to their comforting features and main purpose of being worn to bed as sleepwear and therefore, are appropriately classifiable under CTI 6107 22 10 (Men's Pyjamas) / CTI 6108 32 10 (Women's Pyjamas) of the Tariff Act. 4.6.2. At paragraph 2 of the Comments, the Ld. AC has stated that "Pyjamas" are a form of nightwear usually in a set of two-piece garments. Further, the AC has provided a list of features of "Pyjamas" - which have also been relied upon by the Applicant via technical literature. 4.6.3. In the present case, the Lounge Set to be imported by the Applicant is a set comprising of a two-piece garment, viz., a pullover type top and a trouser type of bottom. Further, it also satisfies the features of "pyjamas" as mentioned by the Ld. AC at paragraph 2 of the Comments - * It consists of a garment intended to cover the upper part of the body (pull....
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.... 4.6.10 It is pertinent to note that although the intended purpose of the Lounge Sets is to be worn in bed, however, as per the fashion trends, there is no fetter on the consumers to wear the same during the day even outside home. Therefore, in light of the current fashion trends, the Lounge Sets are mainly worn as nightwear, if not exclusively. 4.6.11 Reliance is this regard in placed on the judgement by Court of Justice of European Union (First Chamber) in the matter of Neckermann Versand AG and Hauptzollamt Frankfurt am Main-Ost, Case C-395/93, wherein the court interpreted the term "Pyjamas" of CTH 6108. In this case, the court was dealing with the issue of classification of women's or girls' knitted garments (pyjamas) and question of law raised before the court was "Is heading 61.08 of the Combined Nomenclature to be interpreted to the effect that only sets of two knitted garments which, according to their outward appearance, are to be worn exclusively in bed must be considered to be pyjamas?". The court held that for a garment to be classified as pyjamas for customs purposes, it does not have to be solely or exclusively meant to be worn in bed; it is sufficient t....
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....as wearing them during the day outside home-does not preclude their classification as "Pyjamas", since their main purpose remains for use during the night, in bed. Therefore, the Lounge Sets are appropriately classifiable as "Pyjamas" as they satisfy all the features of "pyjamas" as also mentioned by the Ld. AC. 4.6.13 During the personal hearing, your good self also raised a query as to - whether loungewear can appropriately fall under the definition of "Pyjamas"? In this regard, your good self, relied upon a few documents which distinguish between terms "sleepwear" and "loungewear". It is submitted that while there may be differences between "sleepwear" and "loungewear" (assuming for the sake of argument), the term "Pyjamas" includes both sleepwear and loungewear in its ambit. The same is being demonstrated below: 4.6.14 Reliance in this regard placed on the dictionary definitions of the term "Pyjamas", extracted below: Pajamas (noun) clothing that people wear in bed or while relaxing at home - The Britannica Dictionary a loose usually two-piece lightweight suit designed especially for sleeping or lounging - called also pj's - Merriam Webster any cloth....
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.... be sold together to the consumers at a common price and are clearly intended to be worn together. 4.6.20 In this regard, it is submitted the even as per the features of the "Pyjamas", the colours of upper and lower garments need not be identical or same as the prefix employed is "constituent". To understand the meaning of the term, reliance is placed on various dictionaries' definitions, extracted below: Constituent (noun) one of the parts or substances that something is made of - Cambridge Dictionary Constituent (adjective) The constituent parts of something are the things from which it is formed - Collins Dictionary as in component - Merriam Webster one of the parts of something that combine to form the whole - Oxford Dictionary 4.6.21 The Applicant understands that the term "constituent" means an essential or integral part of a whole. In the present case, the colours of the pullover and trousers are not merely incidental but are deliberately selected and incorporated as core elements of the set's design, thereby forming its colour scheme of the Lounge Sets (whole). The colours of the Lounge Sets are complementary and are chosen to create....
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....herein the authority dealt with classification of inter alia men's pyjamas wherein top was constructed from 60% cotton and 40% polyester with a screen-printed design, while the bottoms were made from 100% cotton woven fabric in two or more colours. The authority upheld the classification as "Pyjamas" under heading 6107. This ruling clearly shows that the presence of constituent colours and fabrics-rather than identical ones-is sufficient to satisfy the threshold for classification as "Pyjamas". 4.6.26 In light of the aforementioned, it is submitted that the impugned goods are correctly classifiable under CTH 6107/6108 of the Tariff Act as "Pyjamas". 4.7. Without prejudice to the above, the lounge sets are alternatively classifiable as "similar articles" under cti 6107 99 90 (for men)/ 6108 92 10 (for women) of the tariff act. 4.7.1 Without prejudice to the submissions that the Lounge Sets are classifiable as "Pyjamas", assuming for the sake of argument, if it is found that the Lounge Sets do not qualify as "Pyjamas", then the only possible classification of the Lounge Sets could be CTI 6107 99 90 (For Men)/ 6108 92 10 (For Women) as "Others". 4.7.2 It is submitted t....
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....7 In view of the above, it is submitted that even if the Lounge Sets are not considered to be as "pyjamas", the only alternate classification thereof will be CTI 6107 99 90 (for Men)/6108 92 10 (for Women) as "Others" since they have general likeliness of "Pyjamas" 4.8. The components of the lounge sets cannot be classified separately under different headings of the tariff act. 4.8.1. At paragraph 3 of the Comments, the Ld. AC has remarked that if the Lounge Sets do not meet the features of "Pyjamas", then the components, i.e., the upper garment and the lower garment are to be classified separately. Although no reasoning has been provided by the Ld. AC for advancing to the principle of individual classification of the upper and lower garments, the Applicant understands that this position may be based on Section Note 14 to Section XI of the Tariff Act. As per Section Note 14, textile garments of different headings are to be classified in their own respective headings, even if put up in sets for retail sale, unless the context otherwise requires. 4.8.2. As already submitted above, the Lounge Sets are designed as a set which are intended to be worn together. In fact, the comp....
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....s to sets composed of items which are, in the ordinary course, unrelated and classifiable under different tariff headings. Such sets are artificially bundled together to fulfil a particular activity or need (for example, a sandwich with chips or spaghetti with cheese, which are bundled for meal preparation). By analogy, Section Note 14 is also intended to apply only to those sets where the components are artificially assembled for retail sale and are not naturally associated in common parlance. 4.8.5. On the contrary, the Lounge Sets are naturally designed as a set and are intended to be worn together. In the present case, the Lounge Sets are made, designed, and sold as a single product under a single price from the start. The top and bottom are meant to be used together and are always sold and used as a pair. These are not separate items that have been artificially bundled together just for retail sale, like a sandwich and fries. Another example would be when a men's or women's overcoat is bundled with a pair of gloves. Therefore, the Lounge Sets cannot be considered as "goods put up in sets for retail sale" as they are naturally associated "one-piece" in trade and comm....
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....ived by the Ld. AC and the queries raised by your good office, the Applicant be provided with an opportunity of personal hearing before a decision in the matter is taken Findings, Discussion and Conclusion 5.1. After finding that the application is valid in terms of the provisions of the Customs Act, 1962 and the CAAR Regulations, 2021, having gone through CAAR-1 application, reply from jurisdictional Commissionerate, oral submissions made during the hearing, additional submissions after hearing and the legal framework governing the classification of proposed imports in the form of relevant Chapter notes, Section notes and HSN Explanatory Notes to the respective Chapter headings, I first allow the application and proceed to deliberate upon the issue on the basis of information available on record. Product description :- 5.2. As per importer's submission, Lounge Set is made of fleece knit fabric and ability to trap heat due to the pile surface, which creates air pockets that retains warmth. The synthetic nature of the fleece makes it resistant to moisture, making it suitable for active use. The Lounge Set is designed for comfort and warmth, making it a popular choice....
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....synthetic fibres Other: 6107 99 90 --- Other 6108 WOMEN'S OR GIRLS' SLIPS, PETTICOATS, BRIEFS, PANTIES, NIGHT DRESSES, PYJAMAS, NEGLIGEES, BATHROBES, DRESSING GOWNS AND SIMILAR ARTICLES, KNITTED OR CROCHETED - Slips and petticoats: - Briefs and panties: - Night dresses and pyjamas: 6108 31 00 -- Of cotton 6108 32 -- Of man-made fibres: 6108 32 10 --- Of synthetic fibres 6108 32 20 --- Of artificial fibres - Other: 6108 92 -- Of man-made fibres 6108 92 10 --- Of synthetic fibres 5.5 HSN Explanatory Notes to CTH 6107 & CTH 6108 5.5.1 The HSN Explanatory Notes to CTH 6107 is extracted below: "This heading covers two separate categories of knitted or crocheted clothing for men or boys, namely, underpants, briefs and similar articles (underclothing) and nightshirts, pyjamas, bathrobes (including beachrobes), dressing gowns and similar articles. " 5.5.2 The HSN Explanatory Notes to CTH 6108 is reproduced below: "This heading covers two separate categories of knitted or crocheted clothing for women or girls, namely slips, petticoats, briefs, p....
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....lassification rests on the primary intended use of the product, which in the present case is comfort wear for relaxation. The presence of functional characteristics such as soft texture, warmth retention, and relaxed fit supports classification under similar articles of CTH 6107/6108. 5.9 I find that the jurisdictional Commissionerate in their comments stated that for the lounge set to be classifiable as Men and Women pyjamas in heading 6107 and 6108 respectively, it has to have property mainly intended for wear exclusively or mainly as nightwear, both upper and lower garments should be compatible to each other in terms of design, shape, colour and size and same constituent material/fabric. The applicant has submitted that they are fulfilling all criteria as mentioned by the department except colour and exclusive night use. They have challenged argument of exclusivity and emphasised that main intended use should be criteria for classification. On careful reading of chapter heading as well as HSN explanatory note, I am agreeable with contention of applicant. The "Pyjama sets" or other 'similar articles' are mainly intended for in-house relaxation but their in-house use in....
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....s the Applicant has confirmed that the goods are being imported in set and this fact is verifiable at the time of customs clearance. It is observed that it is common in modern retail practice to offer individual pieces of a set separately to accommodate size variations and consumer preferences. However, this does not detract from the product's intended use or its status under 'similar articles' of CTH 6107/6108 when sold and used together. Even in cases where the top and bottom garments are made available individually for sizing flexibility, their coordinated presentation, consistent fabric composition, and complementary function support their treatment as a unified set under 'similar articles' of CTH 6107/6108. 5.13 Moreover, under General Interpretative Rule 3(b), composite goods or sets put up for retail sale are classified as if they consisted of the material or component which gives them their essential character. In this case, the essential character of the Lounge Set is its function as a two-piece garment intended for sleep and relaxation, which supports classification under the relevant headings i.e. under 'similar articles' of CTH 6107/6108. ....