Name of Applicant:

Aristoplast Products Private Limited

Appeal No.:

AR 04-05/AR/DMN-Silvassa/2018

Ruling pronounced by:

GST AAR Daman/Diu/DNH

Date of Ruling:

11/12/2018

• The applicant is engaged in the manufacturing of Broom Stick made of Plastics, Sprayers and other products made of plastics etc.

• The applicant made two applications for advance rulings: one for correct classification of Plastics Broom-Stick and other for correct classification of “Sprayers” made of plastics. The sprayers are mechanical and hand operated. These sprayers are fitted with a plastic nozzle and are used for spraying liquid.
• The applicant contended that their product “Sprayers” is classifiable under HSN code 8424 under “Sprinkles, drip irrigation system including laterals; Mechanical Sprayers etc. and taxable @ 12% under Sr. No. 325 of Notification No. 01/2018- CT (Rate) dated 28-06-2017.

Question

Observations

Ruling

What is the correct classification and rate of GST for Broom-Stick made of Plastic

• From the reading of the main heading, it is clear that the major heading for the classification of the plastics broom-stick is 9603.
• There is separate classification: - one for Broom-sticks made from twigs or other vegetable materials and second which is not made from twigs or vegetable materials.
• It is very much clear that brooms made from plastics are other than brooms classifiable under heading 96031000.
• Therefore, we held that the correct classification of the Plastic Broom-Stick is under heading 96032900 and classifiable as “Others”.

• Correct classification of the Plastic Broom-Stick is under heading 96032900 and classifiable as “Others”.
• Hence, the product Plastics Broom-Stick is eligible for concessional rate of tax vide Notification No. 1/2017- CT (Rate) dated 28.06.2017.
• Therefore, Plastic Broom-Stick is taxable @ 5% IGST or (2.5% CGST & 2.5% SGST)

What is the applicable rate and classification for “sprayers” made of plastic which is fitted with a plastic nozzle used for spraying liquid?

• On going through the picture of the product, we find that the product is a plastic made handy container for storing liquid which is fitted with hand operated sprayers.
• The product is not classifiable under the heading of “Sprinkler” as claimed by the applicant as “Sprinkler” is an irrigation system installed in the field which makes water pour in field area.
• Sprayer is a device used to spray a liquid. Hence, we are of the view that Sprayers are different from irrigation systems.

• The product is a “Portable Sprayer” classifiable under HSN code 84244100.
• The correct rate for the product is IGST 18% (CGST 9% + UTGST 9%)