In re Asian Paints Ltd. (GST AAR Maharashtra)
Question :-1 . Whether following two categories of products will be classifiable under Entry 24 of Schedule IV of Notification No. 1/2017Central Taxes (Rate) dated 28.06.2017 liable to CGST at 14% or Entry 97 of Schedule III of Notification No. 1/2017 – Central Taxes (Rate) liable to CGST at 9%?
1. Tile Adhesive:-
i. Tile Adhesive for Normal Application
ii. Glass Tile Adhesive
iii. Tile-on-Tile Application
iv. Tile Adhesive for Stone Heavy Tile Application
2. Tile Grout:-
i. Cement based Tile Grout
ii. Epoxy based Tile Grout
Answer In view of the discussions made above, the products in question will be classifiable under Entry 24 of Schedule IV of Notification No. 1/2017 Central Taxes (Rate) dated 28.06.2017 liable to GST @ 28% (14 % CCGT and SGST).
FULL TEXT OF ORDER OF AUTHORITY OF ADVANCE RULING MAHARASHTRA
The present application has been filed under section 97 of the Central Goods and Services Tax Act, 2017 and the Maharashtra Goods and Services Tax Act, 2017 [hereinafter referred to as “the CGST Act and MGST Act”] by Asian Paints Ltd., the applicant, seeking an advance ruling in respect of the following ISSUE.
Whether following two categories of products will be classifiable under Entry 24 of Schedule IV of Notification No. 1/20T7 Central Taxes (Rate) dated 28.06.2017 liable to CGST at 14% or Entry 97 of Schedule III of Notification No. 1/2017 – Central Taxes (Rate) liable to CGST at 9% ?
1. Tile Adhesive
i. Tile Adhesive for Normal Application
ii. Glass Tile Adhesive
iii. Tile-on-Tile Application
iv. Tile Adhesive for Stone Heavy Tile Application
2. Tile Grout
i. Cement based Tile Grout
ii. Epoxy based Tile Grout
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 such dissimilar provisions, a reference to the CGST Act would also mean a reference to the same provision under the MGST Act. Further to the earlier, henceforth for the purposes of this Advance Ruling, a reference to such a similar provision under the CGST Act / MGST Act would be mentioned as being under the “GST Act”.
FACTS AND CONTENTION – AS PER THE APPLICANT
The submissions, as reproduced verbatim, could be seen thus-
Statement of relevant facts having a bearing on the question(s) raised
1.1. The Applicant is a manufacturer and dealer in paints and other chemical based products and adhesives.
1.2. Applicant is, inter alia, in the business of the buying and selling Tile Adhesives and Tile Grouting material.
1.3. The Applicant has been classifying the below mentioned two products under 24 of Schedule IV of Notification No. 1/2017- Central Taxes (Rate) dated 28.06.2017 and paying CGST thereon. The description of the products is explained below and the invoices for the products is annexed herewith in Table – 1
Table -1
