Classification of Fabrics partially Coated with Plastics and bearing Designs: Supreme Court Dismisses SLP due to 225 days Delay [Read Judgement]
The High Court quashed and set aside the Impugned order dated order passed by the Gujarat Appellate Authority for Advance Ruling Goods and Service Tax
![Classification of Fabrics partially Coated with Plastics and bearing Designs: Supreme Court Dismisses SLP due to 225 days Delay [Read Judgement]](https://images.taxscan.in/h-upload/2025/08/05/2073202-classification-of-fabrics-fabrics-fabrics-partially-coated-taxscan.webp "Classification of Fabrics partially Coated with Plastics and bearing Designs: Supreme Court Dismisses SLP due to 225 days Delay [Read Judgement]")
The Supreme Court dismissed the Special Leave Petition (SLP) against the High Court ruling on the classification of fabrics partially coated with plastics and bearing designs due to an unexplained delay of 225 days in filing the Special Leave Petition. A two judge bench of J.B. Pardiwala and Justice R. Mahadevan dismissed the SLP arose out of impugned final judgment and order dated...
The Supreme Court dismissed the Special Leave Petition (SLP) against the High Court ruling on the classification of fabrics partially coated with plastics and bearing designs due to an unexplained delay of 225 days in filing the Special Leave Petition.
A two judge bench of J.B. Pardiwala and Justice R. Mahadevan dismissed the SLP arose out of impugned final judgment and order dated 14-06-2024 in SCA No. 17980/2021 passed by the High Court of Gujarat at Ahmedabad which was in favour of Girish Pravinbhai Rathod (Jay Ambey) & Anr.
The assessee has challenged the order dated 08.04.2021 passed by the Gujarat Appellate Authority for Advance Ruling Goods and Service Tax before the High Court. The respondent assessee is in the business of manufacturing of fusible interlining cloth, which is used in cuffs, Prior to 1988, the goods were classified under various Chapters. To clarify the issue pertaining to classification, the department had issued Circular No. 24/Coated Fabric/88-CX.1 dated 2.9.1988. By way of aforesaid circular, it is clarified that fabrics partially coated with plastics and bearing designs are excluded from purview of Heading 5903.
Stay Updated with the Latest Audit Report Formats & Audit Trials Requirements!, Click Here
It was submitted that the issue regarding classification of partially coated interlining cloth is classifiable under Chapters 52, 54 or 55 depending upon classification of best fabric, however, the respondent authorities ignoring the test report of qualitative analysis of fabric manufactured by the petitioner obtained from the Atira, Ahmedabad wherein it is recorded that the coating on the cloth cannot be seen with naked eyes and the coating is non- continuance and the sample is different than the film coating and the product is covered on only one side and bears a design like dot matrix resulting from coating process and therefore, the goods are directly covered by exceptions mentioned in the chapter note outside the purview of Heading 5903.
It was submitted that partially coated fabrics is classifiable under Chapters 52, 54 and 55 and could not be covered under Chapter 59 as held by the respondent-authority. It was submitted that lower authorities are bound by the orders of the Tribunal.
The High Court quashed and set aside the Impugned order dated order passed by the Gujarat Appellate Authority for Advance Ruling Goods and Service Tax and the product manufactured by the petitioner being partially covered with plastic coated pattern i.e. visible on one side of the fabric and the same will fall under Chapters 50 to 55 58 or 60 GST Tariff and not under Chapter 59 of Chapter Note 5903 as held by the impugned order.
Support our journalism by subscribing to Taxscan premium. Follow us on Telegram for quick updates
