{"id":9148,"date":"2026-05-19T17:40:59","date_gmt":"2026-05-19T12:10:59","guid":{"rendered":"https:\/\/www.centaxonline.com\/blog\/?p=9148"},"modified":"2026-05-19T17:40:59","modified_gmt":"2026-05-19T12:10:59","slug":"aar-clarifies-gst-concession-on-rubber-rings-for-irrigation-systems","status":"publish","type":"post","link":"https:\/\/www.centaxonline.com\/blog\/aar-clarifies-gst-concession-on-rubber-rings-for-irrigation-systems","title":{"rendered":"AAR Clarifies GST Concession on Rubber Rings for Irrigation Systems"},"content":{"rendered":"<pre><strong>Case Details: <a href=\"https:\/\/www.centaxonline.com\/latest-news-updates\/gst\/101010000000419285\/concessional-rate-applies-to-rubber-rings-only-if-made-up-of-hard-rubber-used-for-sprinklerdrip-irrigation-aar\">In re: Arti Pitaliya (2026) 42 Centax 43 (A.A.R. - GST - Raj.)<\/a><\/strong><\/pre>\n<h2><em>Judiciary and Counsel Details<\/em><\/h2>\n<ul>\n<li><strong>Shri Utkarsha<\/strong> &amp; <strong>Dr Akhedan Charan<\/strong>, Members<\/li>\n<li><strong>S\/Shri Pankaj Ghiya<\/strong>, Adv. &amp; <strong>Ribhav Ghiya<\/strong>, C.A., for the Applicant.<\/li>\n<\/ul>\n<h2><em>Facts of the Case<\/em><\/h2>\n<p>The applicant was engaged in the manufacture of vulcanized rubber rings for sprinkler and drip irrigation systems and sought an advance ruling on classification and the applicable rate of GST. The applicant claimed classification of the said rubber rings under Heading 8424 and eligibility for a concessional rate of 5% GST under Entry 195B of Schedule II of <a href=\"https:\/\/www.centaxonline.com\/search?searchData=Notification%20No.%2001%2F2017-Central%20Tax%20(Rate)&amp;itemType=AP\">Notification No. 01\/2017-Central Tax (Rate)<\/a>, dated 28-06-2017, on the basis that the goods were used in sprinkler and drip irrigation systems. The department contended that the goods were classifiable under Heading 4016 when supplied as separate items and were not eligible for a concessional rate. The dispute relating to classification and the applicable rate of GST was placed before the Authority for Advance Ruling (AAR).<\/p>\n<h2><em>AAR Held<\/em><\/h2>\n<p>The AAR held that the goods were vulcanized rubber rings and that classification under Heading 8424 would apply only if the rings were established to be made of hard rubber and were used solely or principally for sprinkler or drip irrigation systems. It was observed that there was no clear finding on record regarding whether the rings were made of hard rubber. It was further held that parts suitable for sole or principal use with sprinkler or drip irrigation systems fall under Heading 8424 in terms of the relevant tariff notes, and a concessional rate under Entry 195B of Schedule II of <a href=\"https:\/\/www.centaxonline.com\/search?searchData=Notification%20No.%2001%2F2017-Central%20Tax%20(Rate)&amp;itemType=AP\">Notification No. 01\/2017-Central Tax (Rate)<\/a>, dated 28-06-2017, would be available only if such conditions were satisfied.<\/p>\n<h2><em>List of Departmental Clarification Cited<\/em><\/h2>\n<ul>\n<li><a href=\"https:\/\/www.centaxonline.com\/search?searchData=Circular%20No.%2081%2F55%2F2018-GST&amp;itemType=AP\">Circular No. 81\/55\/2018-GST<\/a> dated 31st December, 2018<\/li>\n<li><a href=\"https:\/\/www.centaxonline.com\/search?searchData=Circular%20No.%20155%2F11%2F2021-GST&amp;itemType=AP\">Circular No. 155\/11\/2021-GST<\/a> dated 17.06.2021<\/li>\n<\/ul>\n","protected":false},"excerpt":{"rendered":"<p>Case Details: In re: Arti Pitaliya (2026) 42 Centax 43 (A.A.R. -&hellip;<\/p>\n","protected":false},"author":19,"featured_media":9153,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[37,60,189],"tags":[],"class_list":["post-9148","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-gst","category-news","category-gst-case-chronicles"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v25.9 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>AAR Clarifies GST Concession on Rubber Rings for Irrigation Systems<\/title>\n<meta name=\"description\" content=\"AAR rules concessional GST on rubber rings applies only if made of hard rubber and used for sprinkler or drip irrigation.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" 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