Hearing aid parts & accessories under HSN 9021 90 10 are taxable at 18% under GST: AAAR

Case Details: Appellate Authority for Advance Ruling, Karnataka Sivantos India (P.) Ltd., In re - [2022] 145 taxmann.com 486 (AAAR-KARNATAKA)

Judiciary and Counsel Details

• • Smt. Ranjana Jha & Smt. Shikha C, Member
  • Sandesh S. Kutnikar, CA. for the Applicant.

Facts of the Case

The appellant was engaged in business of trading of hearing aids and their parts and accessories. It approached Authority for Advance Ruling (AAR) for classification of parts and accessories of hearing aids and AAR ruled that parts and accessories of hearing aids would be covered specifically under heading 9021 9010 and 18% GST would be applicable. The appellant filed appeal against the order of AAR and submitted that parts and accessories would be covered under Entry No 142 of exemption notification i.e. Notification No. 02/2017 Central Tax (Rate) which includes HSN 902140 and HSN 902190 and would be exempt from GST.

AAAR Held

The Appellate Authority for Advance Ruling noted that parts and accessories of hearing aids falling under tariff item 9021 90 10 were not specifically mentioned in any of entries of exemption Notification No. 02/2017 Central Tax (Rate) and it can’t be assumed that indication of a chapter or heading in an entry would automatically cover all goods under that chapter or heading and ignore description of goods specified in said entry. Therefore, the ruling of AAR was upheld and 18% GST would be applicable.