Chapter 46 - Manufactures of straw, of esparto or of other plaiting materials; basketware and wickerwork

Notes

1. In this Chapter, the expression "plaiting materials" means materials in a state or form suitable for plaiting interlacing or similar processes; it includes straw, osier or willow, bamboos, rattan, rushes, reeds, strips of wood, strip's. of other vegetable material (for example, strips of bark, narrow leaves and raffia or other strips obtained from broad leaves), unspun natural textile fibres, monofilament and strip and the like of plastics and strips of paper, but not strips of leather or composition leather or of felt or non-wovens, human hair, horsehair, textile rovings or yarns, or monofilament and strip and the like of Chapter 54.

2. This Chapter does not cover:

(a) wall coverings of heading 4814;.
(b) twine, cordage, ropes or cables, plaited or not (heading 5607);
(c) footwear or headgear or parts thereof of Chapter 64 or 65;
(d) vehicles or bodies for vehicles of basketware (Chapter 87); or
(e) articles of Chapter 94 (for example, furniture, lamps and lighting fittings).

3. For the purposes of heading 4601, the expression "plaiting materials, plaits and similar products of plaiting materials, bound together in parallel strands" means plaiting materials, plaits and similar products of plaiting materials, placed side by side and bound together, in the form of sheets. whether or not the binding materials are of spun textile materials.

GST Rates of Goods

Chapter Heading	Description	Rate of GST	Schedule	Sr.No
4601	Plaits and similar products of plaiting materials, whether or not assembled into strips; plaiting materials, plaits and similar products of plaiting materials, bound together in parallel strands or woven, in sheet form, whether or not being finished articles (for example, mats matting, screens) of vegetables materials such as of Bamboo, of rattan, of Other Vegetable materials	12%	II	103<sup>1</sup>
4602	Basketwork, wickerwork and other articles, made directly to shape from plaiting materials or made up from goods of heading 4601; articles of loofah	12%	II	104<sup>2</sup>
4601	Grass, leaf or reed or fibre products, including mats, pouches, wallets	5%	I	198A<sup>3</sup>
4601	Manufactures of straw, of esparto or of other plaiting materials;basketware and wickerwork	5%	I	198A<sup>4</sup>
4601	Manufactures of straw, of esparto or of other plaiting materials;basketware and wickerwork	5%	I	198AA<sup>5</sup>
4602	Grass, leaf or reed or fibre products, including mats, pouches, wallets	5%	I	198A<sup>3</sup>
4602	Manufactures of straw, of esparto or of other plaiting materials;basketware and wickerwork	5%	I	198A<sup>4</sup>
4602	Manufactures of straw, of esparto or of other plaiting materials;basketware and wickerwork	5%	I	198AA<sup>5</sup>
46	Khali Dona;Goods made sal leaves,siali leaves,sabai grass,including sabai grass rope	0%	-	114B<sup>1</sup>
46	Plates and cups made up of all kinds of leaves/flowers/bark	0%	-	114C<sup>2</sup>

Other Exemptions

Description	Notification
Exemption from Registration _ small Taxpayers having turnover below threshold limit	Notification No. 10/2019-C.T., dated 7-3-2019
Composition Levy Scheme for Small Taxpayers having Turnover Up to Rs. 1.5 Crore — Old Scheme	Notification No. 8/2017-C.T., dated 27-6-2017
Composition Levy Scheme for Small Taxpayers having Turnover up to Rs. 1.5 Crore — New Scheme	Notification No. 14/2019-C.T., dated 7-3-2019
Scheme to Pay GST 0 6% - For Taxpayers having turnover less than Rs. 50 Lakhs and Not Eligible for Composition Scheme.	Notification No. 2/2019-C.T. (Rate), dated 7-3-2019
Exemption to Specified Goods supplied to Specified Recipients for Petroleum Exploration etc.	Notification No. 3/2017-Central Tax (Rate), dated 28-6-2017]
Exemption to Goods Supplied to CSD by way of Refund	Notification No. 6/2017-Central Tax (Rate), New Delhi, dated 28-6-2017.
Exemption to goods supplied by CSD	Notification No. 7/2017-Central Tax (Rate), New Delhi, dated 28-6-2017
United Nation, International Organisation and Foreign Diplomatic Mission Notified as Entitled for refund of GST Paid on supplies received.	Notification No. 16/2017-Central Tax (Rate), dated 28-6-2017
Reduced GST on Supply of Goods to Exporter	Notification No. 40/2017-CT. (Rate), dated 23-10-2017
Concessional GST on Supply of Scientific and technical equipment to research institutions	Notification No. 45/2017-C.T. (Rate), dated 14-11-2017
Concessional GST on Specified Handicraft	Notification No. 21/2018-C.T. (Rate), dated 26-7-2018

Departmental Clarifications / Case Law

Mats

Polypropylene mats - Said item is manufactured by plaiting together polypropylene mono-filament -appropriately covered under term "mono-filament and strips and the like of plastics" as described in Chapter 46 of Customs Tariff Act, 1975 - Further in terms of C.B.I. & C. Circular No. 4/2018-Cus., dated 24-1-2018, said item has been classified under sub-heading 4601 01 ibid for purpose of drawback - In view of above and also in light of decision in 2004 (170) ELT 432 (Tribunal), said goods appropriately classifiable under Chapter 46 ibid and not under Chapter 39 ibid - As regards rate of tax, these goods were taxable till 23-1-2018 with total GST rate of 12% under Entry 103 of Schedule-II of Notification No. 1/2017-C.T. (Rate) - Post amendment of said Notification on 23-1-2018, these are now covered under Entry No. 198A of notification ibid with GST rate of 5%. In Re: Abubacker Kaleel Rahman 2019 (23) G.S.T.L. 565 (A.A.R. - GST)

Mat

Polypropylene Floor Mat — goods made up from plaiting material by interweaving straws manufactured from extrusion of PP Granules - in view of inclusion clause under Chapter Note of Chapter 46 read with HSN explanatory Notes, covered under Heading 4601 under description 'plaiting materials bound together in parallel strands or woven in sheet form as finished articles' - Similar view was taken by CESTAT in 2004 (170) ELT 432 (Tribunal) and also under All India Drawback Rate Schedule announced vide C.B.I. & C. Circular No. 4/2018, dated 24-1-2018 - In Re: Sharda Polymats, 2019 (24) G.S.T.L. 116 (A.A.R. - GST)

"Stitched Sal Leaf plate" used as plate for eating

Articles of plaiting material including stitched Sal leaf plates fall under ITS code 4602. Prior to 22-9-2017, sal leaf plates attracted 12% GST. With effect from 22-9-2017, sal leaf plates attract 5% CST. [Notification No. 27/2017-Central Tax (Rate)] C.B.I. & C. Circular F. No. 332/2/201 7-7RU, dated 7-12-2017

Sabai Grass (a kind of grass used for making of rope, baskets, etc.)

Sabai grass is used as plaiting material and is classifiable under heading 1401 and attracts 5% GST. C.B.I. & C. Circular F. No. 332/2/201 7-TRU, dated 7-12-2017

Ropes/baskets made up of Sabai Grass

Articles of plaiting material, including baskets, fall under HS code 4602 Prior to 22-9-2017, plaiting material, including baskets attracted 12% GST. With effect from 22-9-2017, plaiting material, including baskets attract 5% GST. [Notification No. 27/2017-Central Tax (Rate)] C.B.I. & C. Circular F. No. 332/2/201 7-7RU, dated 7-12-2017