The Uttar Pradesh Appellate Authority of Advance ruling (AAAR) while reversing the AAR ruling held that the 12% GST payable on ‘Switch Board Cabinet’ specially meant for Indian Railways.
The appellant, Parg Polymers is a partnership firm, they are manufacturer and supplier of locomotive parts and coach (coach work/Rolling stock) parts, as per drawings and specifications approved/ provided by RDSO.
As per appellant, they are licensed & approved by Indian Railways for manufacturing of parts of Rolling Stock and Coach work as per design & drawings developed by RDSO. They have also been approved by RDSO for their Capacity-cum capability Assessment in order to manufacture & supply of Switch Board Cabinet for LHB Type AC EOG Coach consisting of all the power/control switchgear for coach lighting, Air Conditioning, Pantry, Pump Control, Sanitary system and public address system etc of Railways (Conch Work) to their RDSO Specification No. RDSO/PE/SPEC/AC/0184-2015. This product is to be manufactured strictly as mandated by Railways (RDSO) specification, according to the approved OAP and drawings of Indian Railways.
The applicant has sought the advance ruling on the issue of classification of coachwork like switchboard cabinet for railway coaches and locomotives
The Authority for Advance Ruling ruled that “Switch Board Cabinet” merits classification under HSN 8537″.
The coram of Ajay Dixit and Ministhy S held that the classification of the “Switch Board Cabinet, manufactured as per the specific design and layout provided by the Railways and supplied to the Indian Railways only and no-where else, falls under Chapter Heading 8607 of the Customs Tariff Act, 1975.
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