Order date – 21 October 2022

 Key Pointers –

• The Applicant, Singha Baheni Industries, is engaged in manufacturing of Industrial Safety Belts and full Body Harness. The applicant submits that while supplying the aforesaid items, the applicant charges tax @ 5% sale value of which does not exceed Rs.1000/- per piece and @ 12% where sale of each piece exceeds Rs.1000/-.
• The issue involved here is what is the rate of tax and HSN Code of manufacturing of Industrial Safety belt and Harness?
• The AAR observed that the applicant manufactures and supplies industrial safety belts which prevents the wearer from falling from a height and thus if someone who is working at height wears the safety belt, the risk of injury from a fall can be reduced to a great extent. It appears to be made from nylon fabrics webbing and is sewn to various configuration or straps and similar to the safely harness belt sold in the market.
• The AAR held  that the item industrial safety belt made of nylon, which may be termed as life belt, can be covered under Tariff item 6307 20 90. Further, serial number 224 of Schedule I and serial number 171 of Schedule-II respectively of Notification No. 01/2017-Central Tax (Rate) dated 28.06.2017, as amended from time to time, [corresponding State Tax Notification No. 1125-F.T. dated 28.06.2017, as amended] notifies rate of tax of ‘other made up of textiles articles.
• The item industrial safety belt manufactured by the applicant would be classified under chapter sub-heading 6307 20 90 and tax would be levied @ 5% of item sale value not exceeding Rs.1000/- per piece and @ 12% in case where sale value exceeds Rs.1000/- per piece.