GST Classification of HDPE Woven Tarpaulin Laminated with Plastic
West Bengal tax authority ruled plastic-laminated HDPE woven tarpaulins are classified as plastics, not textile products under GST.
- Ruling
- 12/WBAAR/2018-19 dated 20/07/2018
- Dated
- 20 Jul 2018
- Authority
- Authority for Advance Ruling
This page was written by Patron Accounting’s AI from the official release and reviewed before publishing. It explains the document in plain language. It is not the document itself. Where this page and the original differ, the original governs.
The short version
- Company asked if HDPE woven tarpaulins fall under textile heading HSN 6306.
- Authority ruled tarpaulins laminated with plastic layers are excluded from textile classification.
- Lamination with plastic film places the product under plastic goods Chapter 39.
- Certificates from Ministry of Textiles do not override GST classification rules.
In short
East Hooghly Polyplast Pvt Ltd asked whether High Density Polyethylene (HDPE) woven tarpaulins laminated on both sides with plastic film should be classified under textile heading HSN 6306. The company argued that since the base material is woven and recognized by textile authorities, it should count as a textile tarpaulin for Goods and Services Tax (GST) purposes. The tax authority examined the product's construction to decide whether it belongs under textiles or plastic products.
What has changed
How it worked before
Many manufacturers assumed HDPE woven tarpaulins were textile products because they were made from woven fabric and backed by licenses from the Ministry of Textiles or Bureau of Indian Standards (BIS).
What has changed
The Authority for Advance Ruling (AAR) under order 12/WBAAR/2018-19 decided that plastic-laminated HDPE woven tarpaulins cannot use textile heading HSN 6306. Because the woven fabric is laminated on both sides with plastic film, GST tariff section notes strictly remove it from textiles and place it under plastic goods in Chapter 39. In practice, manufacturers cannot claim textile tax classifications for plastic-coated or laminated tarpaulins.
Who this affects
Manufacturers and traders making or selling HDPE woven tarpaulins, plastic laminated sheets, or plastic-coated woven fabrics.
An example
A plastic manufacturing unit in Gujarat makes heavy-duty tarpaulins by weaving HDPE tapes and laminating both sides with plastic film to make them waterproof. The owner wants to clear goods under HSN code 6306 to claim textile classification, pointing to a Ministry of Textiles license. Based on ruling 12/WBAAR/2018-19, the tax authority considers plastic-laminated tarpaulins to fall under plastic heading HSN 3926 instead. To prevent future tax disputes, the owner should seek professional tax advice or apply for an advance ruling.
What you should do
Check whether your woven tarpaulins are laminated or coated on both sides with plastic film. Remember that an advance ruling legally binds only the business that applied for it and their local tax officer. If you manufacture similar goods, consult a GST professional or apply for your own advance ruling before changing your tax rate or tariff code.
If you do nothing
Assuming this ruling automatically applies to your business without reviewing your exact manufacturing process creates tax risks. If a tax officer audits your business and finds you classified plastic-laminated tarpaulins under textile codes, they can issue back-dated tax demands. You could also face interest and penalties for using an incorrect Harmonized System of Nomenclature (HSN) code.
The terms explained
- HSN Code
- A standardized international product coding system used under GST to categorize goods and decide their applicable tax rates.
- Advance Ruling
- A written decision issued by tax authorities to a specific applicant clarifying how tax law applies to their product or transaction.
- Section Notes
- Binding legal instructions at the start of each section in the GST tariff schedule that specify which products are included or excluded.
The ruling in detail
Authority for Advance Ruling
East Hooghly Polyplast Pvt Ltd
12/WBAAR/2018-19 dated 20/07/2018 · West Bengal
Questions before the authority
- Whether 'HDPE Woven Tarpaulin' will be classified under HSN 6306 of the GST Tariff.
Facts
The Applicant is a manufacturer of tarpaulins made from High Density Polyethylene (HDPE) woven fabric as well as plastic tarpaulins. The manufacturing process involves producing HDPE tapes from granules, weaving the tapes into fabric, and laminating both sides of the woven fabric with Low Density Polyethylene (LDPE/LLDPE) film. The Applicant claimed that HDPE woven tarpaulins are textile articles and sought classification under HSN 6306 relying on licenses from BIS and the Ministry of Textiles.
Ruling
| Question | What the authority ruled |
|---|---|
| Classification of HDPE Woven Tarpaulin under HSN 6306 | Will not be classified under HSN 6306 Excluded from Chapter 63 due to plastic lamination on both sides |
The Authority held that tarpaulins made of HDPE woven fabrics **will not be classified under HSN 6306** of the GST Tariff. Because the product is laminated on both sides with LDPE sheets or film, it is excluded from Chapter 63 pursuant to Section Note 1(h) of Section XI.
Reasoning
The decision turned on the rules for interpretation under Notification No. 1/2017-CT (Rate) and the Section Notes of the First Schedule to the Customs Tariff Act, 1975. Note 1(h) to Section XI explicitly excludes woven fabrics that are impregnated, coated, covered, or laminated with plastics of Chapter 39 from Chapters 50 to 63. Since the Applicant's tarpaulin is a laminate of woven HDPE tapes and LDPE plastic sheets, it **cannot fall under Chapter 63** regardless of industry designations or licenses issued by the Ministry of Textiles or the Bureau of Indian Standards.
Provisions relied on
- Section 97(2)(a) of the CGST Act, 2017
- Section 97(2)(a) of the WBGST Act, 2017
- Notification No. 1/2017-CT (Rate) dated 28.06.2017
- Note 1(g) to Section XI of the Customs Tariff Act, 1975
- Note 1(h) to Section XI of the Customs Tariff Act, 1975
- HSN 6306
- HSN 3926 90 99
For the practitioner
This ruling establishes that HDPE woven tarpaulins laminated with plastic layers are excluded from textile classification under HSN 6306 and fall under Chapter 39. Practitioners should remember that **tariff Section Notes override external certifications** from BIS or the Ministry of Textiles for GST classification.
Source
This is a summary prepared from the published order, which is a scanned document. It is a reading aid and not the authority: where the two differ, the order governs. Verify every provision against the original before relying on it.
Original order: https://www.gstcouncil.gov.in/sites/default/files/AAR/order_no._12_of_fy_19_dated_20072018.pdf
Legibility of the scan, as read: high.
Prepared 20-10-2026.
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