M/s. Ramway Foods Ltd. Village-Bhartari, PO-Niranjan Kot, Bhankari, Delhi G.T. Road, Aligarh, Utter Pradesh-202001 (hereinafter called the applicant) is a registered assessee under GST having GSTN : 09AACV0483H1Z8.

2.  The applicant, in their application dated 20-4-2018, raised the following question to be determined by the authority for Advance Ruling.

“Whether the classification of Sacks and bags of a kind used for the packing of goods of manmade textiles materials will appropriately classifiable falling under HSN 6305 33 00 or under 3923 29 90 of GST Tariff”?

3.  Applicant is engaged in the manufacture of Wheat Flour, Maida and Suii falling under HSN 1101 & 1103 of GST tariff respectively and they supply their goods without payment of GST. For packing of the above said final prodacts, the applicant uses the sacks/bags made from woven fabric falling under HSN 6305 33 00 on which GST rate is 5%.

4.  The manufacturer supplier of the above said sacks and bags are supplying the said sacks and bags (as P.P. bags) under HSN 3923 29 90 charging GST 18%. Applicant is not availing any Credit as the final products are exempted from whole of the GST vide Notification No. 27/2017-Central Tax (Rate), dated 2-9-2017.

5.  The applicant was granted a personal hearing on 14-6-2018. Shri Raj Kumar, CA and Shri Pradeep Singhal, Director appeared. In the written submission, the applicant has submitted that –

The above said application has been filed by them because of misclassification of P.P. Sackes and Bags (Supplier of the goods) made of woven fabrics under HSN 3923 21 00 and 3923 29 10 of GST Tariff charging GST @ 18%. Consequently, it increases the cost of their products namely Maida and Sooji as exempted from GST due to ineligibility to take credit of the inputs i.e. Sackes and Bags.

6.  As per Section 95(a) of CGST / SGST Act, 2017 Advance Ruling is defined as –

” Advance ruling” means a decision provided by the Authority or the Appellate Authority to an applicant on matters or on questions specified in sub-section (2) of section 97 or sub-section (1) of section 100, in relation to the supply of goods or services or both being undertaken or proposed to be undertaken by the applicant”.

From the above, it is clear that applications for the advance ruling should be directly related to applicant in respect of supply of goods or services. In the instant case applicant is a recipient of goods and not the supplier or manufacturer of said goods. Since the applicant has sought question which is directly related to supplier of goods, the above said ruling does not appears to be applicable in instant case.

7. In the light of the above, we rule as under :

RULING

8. The ruling is not applicable as applicant is a recipient of goods and not the supplier or manufacturer of the said goods.