PVC Raincoats Being Non-Woven Products to Be Classified Under HSN 392620 and Attract GST Rate of 18% | AAR

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PVC raincoats under GST

Case Details: Aristocrat Industries (P.) Ltd., In re - [2025] 173 taxmann.com 371 (AAR-WEST BENGAL)

Judiciary and Counsel Details

  • Dr. Tanisha Dutta & Joyjit Banik, Member
  • Vikash Dhanania, C.A Sumit Jaiwal, A/R, for the Petitioner.

Facts of the Case

The applicant, engaged in the manufacture of raincoats primarily composed of polyvinyl chloride (PVC), filed an application before the West Bengal Authority for Advance Ruling under Section 97 of the West Bengal Goods and Services Tax Act, 2017. The applicant sought a ruling on whether such raincoats should be classified under HSN 3926 20 as plastic articles or under HSN 6201 40 10 as textile garments. The applicant stated that the raincoats, though composed of PVC, are used as apparel and hence there was ambiguity regarding appropriate classification under the GST regime.

AAR Held

The Hon’ble West Bengal Authority for Advance Ruling held that PVC raincoats are non-woven products, and PVC sheets used in their manufacture cannot be regarded as woven fabric. It further observed that, in common parlance, PVC sheets are not treated as textile materials. Since the raincoats are primarily composed of polyvinyl chloride (PVC), they do not qualify for classification under textile headings. Accordingly, the AAR ruled that such raincoats are classifiable under HSN 3926 20 as articles of apparel and clothing accessories. It concluded that the supply of PVC raincoats attracts GST at the rate of 18%, in terms of Entry No. 111 of Schedule III of Notification No. 1/2017-Central Tax (Rate), dated 28-06-2017, read with corresponding West Bengal Notification No. 1125-F.T., dated 28-06-2017.

List of Cases Referred to

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Author: Taxmann

Taxmann Publications has a dedicated in-house Research & Editorial Team. This team consists of a team of Chartered Accountants, Company Secretaries, and Lawyers. This team works under the guidance and supervision of editor-in-chief Mr Rakesh Bhargava.

The Research and Editorial Team is responsible for developing reliable and accurate content for the readers. The team follows the six-sigma approach to achieve the benchmark of zero error in its publications and research platforms. The team ensures that the following publication guidelines are thoroughly followed while developing the content:

  • The statutory material is obtained only from the authorized and reliable sources
  • All the latest developments in the judicial and legislative fields are covered
  • Prepare the analytical write-ups on current, controversial, and important issues to help the readers to understand the concept and its implications
  • Every content published by Taxmann is complete, accurate and lucid
  • All evidence-based statements are supported with proper reference to Section, Circular No., Notification No. or citations
  • The golden rules of grammar, style and consistency are thoroughly followed
  • Font and size that's easy to read and remain consistent across all imprint and digital publications are applied