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TMI Blog2019 (9) TMI 692X X X X Extracts X X X X X X X X Extracts X X X X ..... dapter, also has mechanism which can be put to use for charging through solar power. The product is provided with a socket and a 5-meter long cable for the purpose, and in some cases a solar panel is also supplied with the product. While the product is also having capability and facility of being charged through solar power, it remains a fact on record that the product is essentially and predominantly made to be charged through AC adapter. Thus, we find the argument of the applicant a bit too overstretched to call it and classify it as Solar Based Devise. In the instant case, we do not find any ambiguity in the GST legislation in as much as it clearly provides concessional rate of tax to Solar power based devices being Renewable energy devices . The applicant have made a vague and vain attempt to get their product within the ambit of Solar power based devices , while as we have already discussed above, the product merely provides solar power as an alternate source to predominantly AC power sourced device. We also find it interesting to note that even the packing of the impugned product does not intend to describe it as solar power based device. That being the case we find th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ubmitted that the product in the question is not a solar based device so it will not be entitled to concessional rate of GST @5% under Sr.No.234 of Schedule-I to Notification No.01/2017-CT(Rate) dtd.28.06.2017 . 6. RECORD OF PERSONAL HEARING: 6.1 Shree Sunil P Jain, CA of the applicant for personal hearing the submissions already made in the application. The Applicant states that - 6.2 The product Solar Powered Torch is classified under HSN 8469/8513 and applicable tax rate is 5%. 6.3 In market both type of product i.e. Solar LED Torch with solar panel, and solar LED Torch without solar panel (charging socket is there on its body) is charged with GST @ 5% under HSN 8469/8513. Both kind of sample invoices enclosed. 6.4 Relevant extract of Not. 1/2017 dated 28-6-17 as amended enclosed. 6.5 The applicant reiterated the submissions he already made in the application during course of hearing and made additional submission later on - 6.6 Product number 1(b) above is torch with solar panel and internal assembly with socket to recharge it with solar panel. This has about 5-meter cable as well to connect solar panel with to ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d the submissions made by the applicant in the application and during time of personal hearing. 7.2 We find that the question before us essentially pertains to classification of the product in question viz. LED Torches, and the rate of duty applicable on such products. We, therefore observe that the issue before us is squarely covered under Section 97(2)(a) and therefore we admit the application for consideration. 7.3. We find that the applicant has sought ruling on the following products which are being traded by them: i. Torch with input socket to recharge from solar panel; ii. Torch with solar panel, having alternate socket to recharge from Alternating current (AC) 7.4. It has been argued by the applicant, through the written submission, additional submission and also at the time of personal hearing, that the product at (ii) above is a torch with solar panel and internal assembly with socket to recharge it with solar panel. This has about 5-meter long cable as well to connect solar panel with torch. Buyer can alternatively recharge it through AC by buying and charging through AC adapter. It has been further argued that almost all ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... .28.06.2017, provides concessional rate of GST @5% to Renewable Energy Devices parts for their manufacture , and it incorporates Solar Based Devices . The product in question cannot be termed as solar based device, as solar power mechanism has been provided as an alternate to AC charging. The product i.e. Rechargeable LED Torch is therefore not a solar based device per se, though it can also be charged with a solar panel which is to be attached externally through a power cable. The solar panel is not an integral part of the device and the product can be perfectly put to use even without such solar panel. Even the applicant have admittedly mentioned that in one case the product is sold without solar panel and in other case solar panel is also provided separately, not naturally bundled with the product. We, therefore, do not find any force in the arguments of the applicant that the impugned product is a solar bases device. 7.8. In addition to our observations above, we also wish to discuss the argument of the counsel of the applicant regarding taking into consideration the trade parlance for deciding classification when the legislature language is not conclusive. The lea ..... X X X X Extracts X X X X X X X X Extracts X X X X
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