In re Jai Hind Plastic (GST AAR West Bengal)
The Authority for Advance Ruling, West Bengal, considered an application filed by a manufacturer engaged in the manufacture and supply of PP packing boxes made of plastic. The applicant, registered under GST in West Bengal, stated that the products were presently being classified under HSN Code 392390 under Chapter 3923 relating to “articles for the conveyance or packing of goods of plastics, stoppers, lids, caps and other closures of plastics.” The applicant was charging GST at 18 percent, comprising 9 percent CGST and 9 percent SGST, and sought clarification regarding the correct HSN classification of the product “PP Packing Box.” The application was admitted as it fell within the scope of Section 97(2)(a) of the GST Act, and the Revenue raised no objection to its admission.
The applicant submitted that PP Packing Boxes are manufactured using plastic granules as the principal raw material through semi-automatic machines installed at its factory in Kolkata. The applicant stated that the finished products are supplied in the course of business and are presently classified under HSN Code 392390 in terms of Chapter 39 of the Customs Tariff. According to the applicant, the goods fall under Serial No. 124 of Schedule II of Notification No. 01/2017 – Central Tax (Rate), which covers “articles for conveyance or packing of goods of plastics, stoppers, lids, caps and other closures of plastics.” GST at the rate of 18 percent was being regularly charged and discharged on the supply of such goods.
