9911796707
TMI Blog2018 (10) TMI 682X X X X Extracts X X X X X X X X Extracts X X X X ..... ed by the applicant, even though claimed as meant to be solely used With and in Hand pumps, their existence would not be as a part of the hand pump, but still this Reactor would have an independent existence as that of a water purifier which can be used in other applications for purification of water - the Reactor does not merit classification under Chapter 8413.91 under the category of Hand Pumps and parts thereof . Reactors are apparatus/ machinery which are used to purify water and as per the submissions made by the applicant, it can be used with various machinery including hand pumps. Hence the arguments of the applicant for considering Reactors as part of Hand Pumps is not tenable and sustainable as Reactors have a use of their own as compared to that of a Hand Pump and thus have an identity of their own - Reactors can also be used in various other places like motorized pipelines, in buildings along with overhead tank, in swimming pools/ fountains, in sewage water treatment in townships, hotels, hospitals, etc. - Reactors have use as water purifier at several places in various pipelines for purification of water and not only in hand pumps. Therefore their claim that thei ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... araltec Reactor for hand pumps harnessess fluid dynamics and kills microbes in water from bore well hand pump eliminating water borne diseases such as diarrhea, cholera typhoid. The Reactor can be easily retrofitted into the India mark 2 model (the most widely used hand pump in the world) within an hour by a local plumber with no special tools. With its nil operational expense and low capital investment, the Taraltec Reactor for hand pumps is ideal for all under-served remote areas. The Reactor once fitted needs no maintenance. There is no need for specialized personnel, nor for separate electricity. The game-changing technology has a range of other applications. With minimum moving parts, it can be brought online in variable/pulsating fluid flows to create targeted process intensification in a modular way. None of the applications require any maintenance, or specialized personnel for fitting. Each can be retrofitted into existing setups with minimum pipeline modification, and with no plant Stoppage. In rural areas : The red dot mark on a bore well, added by the authorities, indicates that the water from the bore well has been tested and found to be contaminated a ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ired. 4. As per the Harmonised Systems of Nomenclature (HSN) note - (II) part (Section Note 2) of the Section XVI in general parts which are suitable for use solely or principally with the machines or apparatus are classified under same heading. However, the said Rule does not apply to the parts which in themselves constitute an article covered by headings of the Section X VI, shall be classified in their own appropriate heading even if specially designed to work as part of specific machine. This HSN note particularly applies to heading 8413. Therefore, although catalogue and further details are required, from whatever sketchy details of the product provided by the applicant, it prima facie appears that the product in question will not fall under Chapter Heading 8413 as parts of the Hand Pumps and more appropriately will be covered under Chapter Heading 8419. 5. Hence, the final comments can be given only if the applicants provides the complete information like the catalogue of the product containing the product Characteristic, its functions etc. PRAYER 6. It is prayed that, i) Since the applicant has not provided vital details essential to determine classificatio ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... or liquids . The Reactor can be used in multiple devices including hand pumps. In fact, they do not form part of a Hand Pump. They are a device retrofitted to a Hand Pump to purify the Water. The applicant has further Stated that other application of the reactor in the pipe line are : i) to be fitted for wells, ponds, lakes etc to motorized pipelines. ii) to be fitted in buildings along with overhead tank. iii) swimming pools/ fountains. iv) sewage water treatment in townships, hotels, hospitals etc. From the above, it is felt that the reactors being manufactured are entirely different article having a different purpose and framing them under water pumps will not be correct as they are not meant to be solely used with Hand pumps. It has many other applications. Therefore, it does not appear to be classifiable under Chapter 8413.91 under the category of Hand Pumps and parts thereof . 5. Further, as per HSN Note-(II) part (Section Note 2) of the Section XVI in general parts which are suitable for use solely or principally with the machines or apparatus are classified under same heading. However, the said Rule does not apply to the parts which in themse ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... es-eliminating water borne diseases such as diarrhea, cholera typhoid. They have further submitted that the Reactor can be easily retrofitted into the India mark 2 model (the most widely used hand pump in the world) with no special tools and is ideal for all under-served remote areas. The Reactor once fitted needs no maintenance, no specialized personnel and no electricity. They have also submitted that each Reactor can be retrofitted into existing setups with minimum pipeline modification, and with no plant stoppage. Their question is that since the Reactor is forming part of Hand Pump it should be classified under HSN No. 8413, 8413 91 as Hand pumps and parts thereof. We find that the Reactor manufactured by the applicant is used to purify the water supplied by hand pumps. It may be mentioned here that the main function of a hand pump is to lift water from under the ground and make them available to the public. The hand pump does its work even without the presence of Reactors inside it. Hence it clearly appears that the Reactor is not an essential part of the hand pump. On the basis of the submissions made by the applicant we find that the Reactors have a function w ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... and Pump, it shall not merit classification under CTH 8413 91. Therefore, from the HSN, it is clear that parts though fitted in hand pumps has to be classified separately as an article in itself. In this case the item Reactors have an independent identity and function which is not solely as part of a hand pump. From the above discussions we find that Reactors are apparatus/ machinery which are used to purify water and as per the submissions made by the applicant, it can be used with various machinery including hand pumps. Hence the arguments of the applicant for considering Reactors as part of Hand Pumps is not tenable and sustainable as Reactors have a use of their own as compared to that of a Hand Pump and thus have an identity of their own. Secondly, from the submissions made by the applicant it appears that Reactors can also be used in various other places like motorized pipelines, in buildings along with overhead tank, in swimming pools/ fountains, in sewage water treatment in townships, hotels, hospitals, etc. Thus we find that Reactors have use as water purifier at several places in various pipelines for purification of water and not only in hand pumps. Therefore thei ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ng water falls under Heading 8421 21 attracting 9% CGST and SGST each. The Reactor is neither an Ion exchanger plant or apparatus, Household type filter and therefore would fall under the others category i.e. 8421 21 90, thus attracting 9% CGST and SGST each. In view of the above discussions we find that the Reactor used by the applicant, in handpumps, for purifying water is classifiable under Tariff Heading 8421 21 90 and they are liable to pay CGST and SGST @ 9% each on such product. 06. In view of the extensive deliberations as held hereinabove, we pass an order as follows : ORDER (under section 98 of the Central Goods and Services Tax Act, 2017 and the Maharashtra Goods and Services Tax Act, 2017) NO.GST-ARA- 47/2017-18/B-54 Mumbai, dt. 22.06.2018 For reasons as discussed in the body of the order, the questions are answered thus - Q. No. 1 : Classification of goods (i.e Reactor used in Hand Pump for water disinfection) Answer : The Reactors are classifiable under Tariff Heading 8421 21 90 of the GST Tariff. Q. No.2 : GST Rate Applicability on reactor machine which is used in Hand Pump for water disinfection Answer ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
