Page 180 - GSTL_18th June 2020_Vol 37_Part 3

394 GST LAW TIMES [ Vol. 37
2020 (37) G.S.T.L. 394 (A.A.R. - GST - Kar.)

BEFORE THE AUTHORITY FOR ADVANCE RULING UNDER GST,
KARNATAKA
Dr. M.P. Ravi Prasad, Member (State Tax) and Shri Mashhood ur Rehman
Farooqui, Member (Central Tax)
IN RE : LSQUARE ECO PRODUCTS PVT. LTD.
Advance Ruling No. KAR ADRG 33/2020, dated 20-5-2020
Paperboards - Paper honeycomb boards made using kraft paper, paper
honeycomb core and adhesives - Product consisting of 80% to 90% of kraft pa-
per and rest being paper to paper adhesive and used in primary packing of
goods as cushioning material, separators or edge protector, for making ship-
ping cartons of goods and as pallets and pallet boxes - Similar to corrugated
paperboard (listed under HSN Code 4808 10 00), only difference being paper
honeycomb board consists of honeycomb like structure core material at centre
and on either side of this one or more layer of kraft paper glued by using ad-
hesive with fluting direction being perpendicular to corrugated boards - Hon-
eycomb paperboard classified under HSN Code 4808 90 00 as “other” instead
4808 10 00 as “Corrugated paper and paperboard, whether or not perforated”.
[para 14]
Ruling in favour of assessee
REPRESENTED BY : Shri Abhijeet Suresh Makhijani, Authorised
Representative, for the Assessee.
[Order]. - M/s. LSquare Eco Products Pvt. Ltd., #B-194, 5th main, 2nd
stage, Peenya Industrial Area, Bangalore-560058 (hereinafter referred to as “the
applicant”) is a private limited company registered with GSTIN :
29AABCL3292R1ZR, filed an application for Advance Ruling under Section 97 of
the CGST Act, 2017 read with Rule 104 of the CGST Rules and Section 97 of the
KGST Act, 2017 read with Rule 104 of KGST Rules, 2017, in FORM GST ARA-01
and discharged the fee of Rs. 5,000/- each under the CGST Act and the KGST
Act.
2. The applicant is a manufacturer of Kraft paper honeycomb boards or
paper honeycomb boards using the kraft paper, paper honeycomb core and ad-
hesives. The boards are made up of 2 layers of kraft liner and one layer of honey-
comb like structure made of fluting kraft paper.
3. The applicant submitted that first they prepare the core material by
using the two or more sheets of honeycomb like structure kraft paper which is
glued together in an alternate glue strip pattern to create structure of multiple
layers of kraft paper in vertical direction. These corrugated layers open out in the
form of continuous honeycomb like grid with centre of each corrugated strip at-
tached to another layer of corrugated strip upon expansion. Further, applicant
applied the one or more layer of kraft paper on either side of the core material to
form kraft paperboards referred to as kraft paper honeycomb boards or simply
paper honeycomb boards. Depending upon the product being packed with this
material, multiple paper honeycomb boards may be glued together to make spe-
cific design of packing material.

GST LAW TIMES  18th June 2020  180