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TMI Blog2020 (7) TMI 260X X X X Extracts X X X X X X X X Extracts X X X X ..... seeking an advance ruling in respect of the following question. 1. Whether the proposed product is classifiable as "Glass-fibre Reinforced Gypsum Board" and the applicant can avail the benefit of the concessional rate of tax under Schedule II of Notification no - 1/2017 - Central Tax? At the outset, we would like to make it clear that the provisions of both the CGST Act and the MGST Act are the same except for certain provisions. Therefore, unless a mention is specifically made to any dissimilar provisions, a reference to the CGST Act would also mean a reference to the same provision under the MGST Act. Further to ae earlier, henceforth for the purposes of this Advance Ruling, the expression 'GST Act' would mean CGST Act and MGST Act. 2 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nomenclature mentioned in column (3) of the notification. 2.4.1 It is submitted that there is no dispute regarding the classification of the proposed product, since Sr. No.92 of the Schedule -III of the Notification is applicable to goods falling under 'any chapter'. Thus, the first condition as mentioned in point (i) above stands satisfied. 2.4.2 The applicant contends that the subject product can be classified as GRG. Applicant proposes to add glass-fibre upto one percent of the total weight of the ingredients of the gypsum board in order to increase flexural, tensile, compressive and impact strength of the board to give reinforcement to the resultant product and therefore applicant is of the opinion that the proposed product is a 'Glas ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e it eligible to be classified as GRG. 2.7 In the alternative, even if it is argued that Serial No. 180C to Schedule III of Notification No. 1/2017 - C.T. (Rate) & Sr. No. 92 to Schedule II of the same notification are competing entries, then the appropriate classification of the above-mentioned products shall be determined as per the General Rules of Interpretation and as per Rule 3(a) of the General Rules of Interpretation, the heading which provides the most specific description and provides for the essential characteristic of the product shall be preferred to headings providing a more general description. Hence, Sr. No. 92 to Schedule II of Notification No. 1/2017 - C.T. (Rate) provides the most specific description for gypsum boards r ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... leared at 12% GST claiming benefit of the above said notification. 03. CONTENTION - AS PER THE JURISDICTIONAL OFFICER 3.1 The proposed product is not yet manufactured and hence in absence of any sample of said product being tested from accredited laboratory to determine exact nature of the product, its classification cannot be arrived, at this stage. As such no 'comment can be offered on the said matter. 3.4 As regards to the applicability of concessional rate of tax under Notification No. 01/2017-C.T. (Rate) dated 28.06.2017, in relation to supply of "Glass-fiber Reinforced Gypsum Board", it is submitted that, once the product is manufactured: the same will be got tested from accredited laboratory to determine exact nature of the produc ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the applicant. Therefore no samples have been submitted. 5.3 We observe that the applicant has made technical submissions with respect to contents of the impugned product. They are intending to manufacture the said goods and are seeking classification of the same but have not submitted any samples of the impugned product. 5.4 Further, Section 97 (2) (a) of the CGST Act, states that the question on which the advance ruling is sought under the CGST Act, shall be in respect of classification of any goods or services or both. Thus, questions may be raised by an applicant in respect of classification of goods, supply of which is being undertaken or proposed to be undertaken. To classify the impugned product, in light of the submissions made b ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ction says that, in the case of goods, it is the supply being undertaken or proposed to be undertaken. It is not the case that the manufacture of goods may be undertaken or proposed to be undertaken. Thus, goods in respect of which supply being, undertaken or proposed to be undertaken, should be existing. In the subject case applicant has submitted that they are proposing to manufacture the impugned product, which are presently not in existence. Thus their application is also barred under Section 95 of the CGST Act. 5.7 In view of the above we find that the subject application is non-maintainable and is therefore liable to be rejected. 06. In view of the above, we pass an order as follows: ORDER (Under Section 98 of the Central Goods an ..... X X X X Extracts X X X X X X X X Extracts X X X X
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