In re Sekandar Sardar (GST AAR West Bengal)
The case of Sekandar Sardar’s GST Advance Ruling in West Bengal pertains to the classification and taxation of disposable paper cups. This article delves into the intricacies of the ruling, addressing concerns regarding HSN codes, tax rates, and refund possibilities.
The applicant, engaged in the manufacturing of paper cups, sought clarification on various aspects under the GST Act. The questions primarily revolved around the correctness of the HSN code for paper cups, the applicable SGST rate, and the eligibility for refund due to input-output rate differences.
While the applicant contended for a lower tax rate and a specific HSN code, the revenue authority argued for a higher tax rate of 18%. The ruling authority carefully examined the submissions and relevant provisions to arrive at a decision.
After thorough consideration, the ruling authority determined that the supply of disposable paper cups falls under HSN code 4823 40 00 and attracts a tax rate of 18%.
FULL TEXT OF THE ORDER OF AUTHORITY FOR ADVANCE RULING, WEST BENGAL
1 At the outset, we would like to make it clear that the provisions of the Central Goods and Services Tax Act, 2017 (the CGST Act, for short) and the West Bengal Goods and Services Tax Act, 2017 (the WBGST Act, for short) have the same provisions in like matter except for certain provisions. Therefore, unless a mention is specifically made to such dissimilar provisions, a reference to the CGST Act would also mean reference to the corresponding similar provisions in the WBGST Act. Further to the earlier, henceforth for the purposes of these proceedings, the expression “GST Act” would mean the CGST Act and the WBGST Act both.
