In re M/s. Ginni Filaments Ltd. (GST AAR Gujarat)
1. The products (a) Wet Baby Wipes, (b) Wet Face Wipes, (c) Bed and Bath Towels and (d) Shampoo Towels supplied by M/s. Ginni Filaments Limited (GSTIN 24AABCG0942K1ZT) are appropriately classifiable under Heading 3307 or 3401 depending upon their constituents. If these products are impregnated with perfumes or cosmetics, the same would fall under HS code 3307 and if they are coated with soap or detergent, then it would fall under HS code 3401.
2. GST rate prescribed for the applicable HS code shall be charged under Central Goods & Services Tax Act, 2017 and Gujarat Goods & Services Tax Act, 2017 and notifications issued there under.
FULL TEXT OF ORDER OF AUTHORITY OF ADVANCE RULING, GUJARAT
The applicant M/s. Ginni Filaments Limited is engaged in the supply of (a) Wet Baby Wipes, (b) Wet Face Wipes, (c) Bed and Bath Towels and (d) Shampoo Towels, from the state of Gujarat. The applicant submitted the composition of materials used in goods supplied, size and use of the goods. It is submitted by the applicant that the company is engaged in the supply of various types of wet wipes, shampoo towels, etc. as per the requirements of the buyers. For example, under the category of Wet Face Wipes, the applicant supplies different types of Wet Face Wipes such as “moisturizing” “cleansing”, “skin care” wet wipes wherein the proportion of ingredients used may differ slightly. However, the composition, size and use of the sub-categories is broadly the same.
2. The applicant submitted that they are uncertain as to the classification of the following goods under the GST regime as a result of overlapping entries in the GST Schedules as notified by Notification No. 1/2017 – Central Tax (Rate) dated 28.06.2017 and Notification No. 1/2017 – State Tax (Rate) dated 30.06.2017 (hereinafter collectively referred to as the “Rate Notifications”):
a. Wet Baby Wipes
b. Wet Face Wipes
c. Bed and Bath Towels
d. Shampoo Towels
3.1 The applicant submitted that the overlapping HSN entries along with the description as given in the Rate Notifications pertaining to the Applicant’s product, “Wet Baby Wipes” are as under :
