GST Exempted On Bouquet Made With Dry Parts Of Plants, Foliage, And Branches Of Plant: AAR

The West Bengal Authority of the Advance Ruling (AAR) has observed that bouquets made with dry parts of plants, such as foliage, flower buds, grasses, and branches of plants, are exempt from GST.The two-member bench of Brajesh Kumar Singh and Joyjit Banik has observed that the bouquet made with dry parts of plants, foliage, flower buds, grasses, and branches of plants that are dried, bleached, dyed, and colored for decorative and ornamental purposes and sold with plastic foil packaging will be classifiable under Tariff Item Nos. 0639000 or 06049900.The applicant is in the business of manufacturing and processing dry parts of plants, such as foliage, flower buds, grasses, and branches of plants, which are dried, bleached, dyed, and colored for decorative and ornamental purposes and sold as bouquets made with dried parts of plants and packed in plastic foil packaging.The applicant sought an advance ruling on the issue of whether the bouquets made with dry parts of plants, such as foliage, flower buds, grasses, and branches of plants that are bleached, dyed, and colored for decorative and ornamental purposes and sold with plastic foil packaging would be considered "exempt supplies" under the GST.The applicant submitted that the bouquets made from dried plant parts and dried flowers would be covered under HSN 0604, and therefore the supply of such goods would be treated as an exempt supply.The AAR has noted that Chapter 6 of the GST Tariff deals with "live trees and other plants; bulbs, roots, and the like; cut flowers and ornamental foliage." Further, in terms of Note 2 of Chapter 6, as it has already been referred to by the applicant, "any reference in heading 0603 or 0604 to goods of any kind shall be construed as including a reference to bouquets, floral baskets, wreaths, and similar articles made wholly or partly of goods of that kind."The AAR held that the supply of goods by the applicant under Tariff Item Nos. 0639000 or 06049900 whether individually or in combination, is also exempt from the payment of tax.Applicant’s Name: Shopinshop Franchise Pvt. Ltd.Date: 09.02.2023Click Here To Read The Ruling

GST Exempted On Bouquet Made With Dry Parts Of Plants, Foliage, And Branches Of Plant: AAR

Mariya Paliwala

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