In Advance Ruling No. GUJ/GAAR/R/2023/25 -AAR- AAR (Gujarat) classifies Artificial Insemination Crate/Travis under TI 7306, subject to 18% GST
Members Milind Kavatkar (SGST) & Amit Kumar Mishra (CGST) [30-06-2023]

Read Order: In Re: Kantaben Rameshbhai Chaudhari

Chahat Varma

New Delhi, July 28, 2023: The Gujarat Authority for Advance Rulings has ruled that the product Artificial Insemination Crate/Travis manufactured by the applicant for medical treatment of animals and installed at Veterinary Dispensary Centres, was subject to GST at a rate of 18%. The product has been classified under TI 7306 of the Customs Tariff Heading.

The applicant, in the said matter, was a manufacturer of veterinary instruments called Artificial Insemination Crates/Travis, which were used for the medical treatment of animals. The applicant had sought an advance ruling to determine the applicable tax rate for these veterinary instruments and their classification.

The two-member bench of Milind Kavatkar (SGST) and Amit Kumar Mishra (CGST) noted that upon examination of the diagram and photograph of the Artificial Insemination Crate/Travis, presented during the personal hearing, it was evident that the product was primarily a structure made of tubes and pipes of iron and steel. As a result, the product was appropriately classified under TI 7306 of the Customs Tariff Heading.

The bench further explained that for the product to be classified under TI 9018, it should be an instrument, an appliance, or at least an apparatus. However, the applicant did not present any evidence or information to demonstrate that the Artificial Insemination Crate/Travis could be considered an instrument, appliance, or apparatus. As a result, the product did not fall within the ambit of TI 9018 classification.

Regarding the tax rate applicable to the product, the bench referred to Notification No. 1/2017- Central Tax (Rate), Schedule III, Sr. No. 220. According to this Notification, the GST rate for the product in question was 18%.