PROCEEDINGS OF THE

AUTHORITY FOR CLARIFICATION AND ADVANCE RULING

(Under Section 67 of APVAT Act, 2005)

Present: Sri T. Yugandhar Reddy, Addl. Commissioner (VAT)

Sri K. Raghavaiah, Jt. Commissioner (Audit))

Sri P.Satyanarayana Reddy, Jt. Commissioner (Enft.))

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CCT's Ref.No: A.R.Com/ 20/ 2006. Dated: 29.11.2006.

Ref:- CCT's Ref.No: PMT/P&L/A.R.Com/2005, Dated 13-04-2005.

O R D E R:

I. M/s. V.R. Anjiah, (TIN. 28670104059) Secunderabad have filed an application and sought clarification and advance ruling on the following items under Section 67 of APVAT Act, 2005 read with Rule 66(2)(i) of APVAT Rules, 2005 along with the application fee of Rs.1,000/-

II. Sri A.V. Narasimha Rao, Sole Prop. appeared for hearing and explained the case.

III. The applicant sought to know the rate of tax applicable to "Bleaching Powder" with H.S.N. No.2828.10.10 under Central Excise Tariff code. To substantiate his claim regarding Central Excise Tariff code, the applicant has furnished copies of sale invoices issued by manufacturers of bleaching powder from whom the applicant has effected purchases.

IV. The issue has been examined with reference to the provisions of the APVAT Act and Rules and HSN Codes notified by Government vide G.O.Ms.No:398, Revenue (CT.II) Department Dated 31-03-2005 and G.O.Ms.No:490, Revenue (CT.II) Department Dated 15-04-2005 as superceded in G.O.Ms.No.1596, Revenue(CT-II) Dept. dt.27.08.2005, in G.O.Ms.No.1615, Revenue (CT-II), Dept. dt.31.08.2005, G.O.Ms.No.502, Rev. (CT-II) Dept., dt.1-5-2006 w.e.f. 1-5-2006, G.O.Ms.No.656,

Revenue (CT-II), Dept. dt.2.06.2006 G.O.Ms.No.795, Revenue (CT-II), Dept. dt.29.06.2006 and the ruling is given as under.

Through G.O.Ms.No.502 Revenue (CT-II), dt.01.05.2006 at Sl.No.58 of entry 100 "Industrial inputs that is to say", to IV Schedule of AP VAT Act, 2005 the Heading No.2828 is included. Commercial calcium hypochlorite (bleaching paste or powder is mentioned with H.S.N. Code 2828.10.10 under chapter 28 of Central Excise Tariff codes.

Going by the rules of interpretation of H.S.N. Codes since the four digit code of 2828 is notified at Sl.No. 58 under entry 100 of IV schedule Bleaching powder or paste with H.S.N. code 2828.10.10 is liable to tax @ 4% w.e.f.01.05.2006.

Addl/Jt/Commissioner

NOTE:- An appeal against this proceedings can be filed before the Sales Tax Appellate Tribunal, A.P. Hyderabad within 30 days of this ruling.