Page 185 - GSTL_18th June 2020_Vol 37_Part 3

2020 ] IN RE : SAI MOTORS 399
Personal Hearing:/Proceedings held on 20-2-2020
6. Sri Harish S., Chartered Accountant and duly authorised representa-
tive of the applicant appeared for personal hearing proceedings on 20-2-2020 be-
fore this authority and reiterated the facts.
7. Discussion & Findings
7.1 We have considered the submissions made by the Applicant in their
application for advance ruling as well as the submissions made by him when he
appeared for the personal hearing. We have also considered the issues involved,
on which advance ruling is sought by the applicant, and relevant facts.
7.2 At the outset, we would like to state that the provisions of both the
CGST Act and the KGST Act are the same except for certain provisions. There-
fore, unless a mention is specifically made to such dissimilar provisions, a refer-
ence to the CGST Act would also mean a reference to the same provisions under
the KGST Act.
7.3 The applicant herein purchases the two wheelers, covered under
the HSN 8711 20 19 and also purchases the retro fitment equipment, covered un-
der HSN 8713 10 90. The applicant then retrofits the equipments to the two
wheelers and makes it compatible to use of differently abled persons. The appli-
cant contends that the impugned retro fitted vehicles qualify to be motorized
carriages for disabled persons & merits classification under Heading 8713 10 90
and hence attracts GST @ 5%, in terms of Entry No. 243 of Schedule I to the Noti-
fication No. 1/2017-Central Tax (Rate), dated 28-6-2017.
7.4 It is observed that Entry No. 243 of Schedule I to the Notification
No. 1/2017-Central Tax (Rate), dated 28-6-2017 specifies that the goods having
description of “Carriages for disabled persons, whether or not motorised or otherwise
mechanically propelled” attract 5% GST (CGST-2.5% & SGST-2.5%). The applicant
contended that their product “Retrofitted two-wheeler” merits classification un-
der Heading 8713. Therefore, the question before us to decide is whether the im-
pugned retrofitted two-wheeler qualifies to be classified under Heading 8713 or
not. Thus, we proceed to examine the classification of the said product i.e. Retro-
fitted two-wheeler. We draw attention to the Chapter Heading 8713 which reads
as under :

8713 Carriages for disabled persons, whether or not motorized or
otherwise mechanically propelled
8713 10 - Not mechanically propelled
8713 10 10 --- Wheel chairs for invalid
8713 10 90 --- Other
8713 90 - Other
8713 90 10 --- Wheel chairs for invalid
8713 90 90 --- Other

7.5 In view of the above, it could easily be inferred that the impugned
product has to be a “Carriage for disable person” so as to get classified under
Heading 8713 & to attract 5% of GST.
1 7.4 In the instant case, it is an admitted fact that the applicant purchas-
es a vehicle i.e. two-wheeler and also certain additional parts/accessories to ret-
________________________________________________________________________
1 Paragraph number as per official text.
GST LAW TIMES  18th June 2020  185