Page 175 - GSTL_7th May 2020_Vol 36_Part 1

2020 ] IN RE : FLINT GROUP INDIA PRIVATE LIMITED 133
guide is the internationally accepted nomenclature emerging from the
Harmonious System of Nomenclature (HSN). Although, the decision in the
case of Woodcraft Products (supra) dealt with the interpretation of the provi-
sions of the Central Excise Tariff there can be no doubt that the HSN Ex-
planatory Notes are a dependable guide even while interpreting the Cus-
toms Tariff.”
10.1 The Tariff Heading No. 3208 reads as follows :-
“Paints and varnishes (including enamels and lacquers) based on syn-
thetic polymers or chemically modified natural polymers, dispersed or dis-
solved in a non-aqueous medium; solutions as defined in note 4 to this
chapter”
10.2 The Explanatory Notes for ‘Paints and varnishes (including enam-
els and lacquers) based on synthetic polymers or chemically modified natural
polymers, dispersed or dissolved in a non-aqueous medium; solutions as defined
in Note 4 to this chapter”’ under Tariff Heading 3208 of the Harmonised System
of Nomenclature, inter alia, provides as follows :-
“(A) PAINTS (INCLUDING ENAMELS)
------------------.
(B) VARNISHES (INCLUDING LACQUERS)
Varnishes and lacquers of this heading are liquid preparations for pro-
tecting or decorating surfaces. They are based on synthetic polymers (in-
cluding synthetic rubber) or chemically modified natural polymers (such as
cellulose nitrate or other cellulose derivatives, novolacs or other phenolic
resins, ammo-resins, silicones, etc.) with added solvents and thinners. They
Form a dry, water-insoluble, relatively hard, more or less transparent or
translucent, smooth, continuous film which may be glossy, matt or satiny.
They may be coloured by the addition of colouring matter of a kind
soluble in the composition. [In paints and enamels the colouring matter is
called the “pigment” and insoluble in the media - see Part (A) above.]
The more common methods of applying paints, varnishes and lac-
quers are by use of a brush or roller. The main industrial methods used in-
clude spraying, dipping and machine-coating.
This heading also includes :
(1) Varnishes intended to be diluted at the time of their ap-
plication. They consist of resin dissolved in a small quantity of solvent
and of ingredients such as anti-skinning agents and certain third thixo-
tropic or drying agents which make them suitable for use solely as
varnishes. Varnishes of this description, in which the secondary ingre-
dients are also in solution, can be distinguished from the solutions de-
fined in Note 4 to the Chapter on the basis of the difference in the
chemical nature of their respective secondary ingredients and the con-
sequent differences in the functions performed by those ingredients in
the two types of solutions.
(2) Radiation-curable varnishes, which consist of oligomers
(i.e., polymers comprising 2, 3 or 4 monomer units) and cross-linking
monomers, in volatile solvents, with or without photo-initiators. These
varnishes are cured by the action of ultra-violet light, infra-red light,
X-rays, electron beams or other radiation to form cross-linked, solvent-
insoluble network structures (a hard, dry film). Products of this type
do not fall in this heading unless they are clearly identifiable as being
intended for use solely as varnishes. Similar products of a kind used as
photographic emulsions fall in heading 37.07.
GST LAW TIMES  7th May 2020  175