GST Classification of PTFE Braided Gland Packing Under HSN 3920
The Gujarat Authority for Advance Ruling decided that PTFE braided gland packing is classified as plastic under HSN 3920, attracting 18% GST.
- Ruling
- GUJ/GAAR/R/2026/32 dated 07/08/2026
- Dated
- 07 Aug 2026
- 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
- The company asked if PTFE gland packing is a textile or plastic product.
- The Authority ruled it is an article of plastic under HSN 39209949.
- The product attracts 18% GST, not the rate for textile articles.
- Statutory definitions override common trade or industry parlance.
In short
The company asked the Gujarat Authority for Advance Ruling (GAAR) to decide the correct GST classification for PTFE braided gland packing. They wanted to know if it should be taxed as a textile product under HSN 5911 or as a plastic article under HSN 3920. The Authority examined the material composition and physical dimensions to settle the dispute.
What has changed
How it worked before
Businesses were often unsure whether to classify these industrial packing materials as textile products based on their braided appearance or as plastic products based on their chemical composition.
What has changed
The Authority ruled that because the product is made of PTFE and has a cross-section larger than 1mm, it cannot be a textile article under the law. It must be classified under HSN 3920, which carries an 18% GST rate. This confirms that technical rules in the tariff notes take priority over how a product is described in the market.
Who this affects
Manufacturers and traders of PTFE braided gland packing or similar industrial sealing products.
An example
Imagine a company in Maharashtra that sells similar PTFE braided packing and has been paying GST at a lower textile rate. After reading this ruling, they realize their product likely falls under HSN 3920. They should consult their tax advisor to confirm their classification and avoid potential penalties for underpayment of tax.
What you should do
If you sell similar products, review your current HSN classification against this ruling. Remember that an Advance Ruling only binds the company that asked and its specific tax office. You cannot automatically apply this to your own business, but it shows how the tax department interprets these specific technical rules.
If you do nothing
If you classify your goods incorrectly, a tax officer may issue a notice for the difference in tax, plus interest and penalties. Relying on a ruling that does not apply to you is not a valid legal defense. Always ensure your classification is supported by the specific technical notes in the Customs Tariff Act.
The terms explained
- HSN
- Harmonized System of Nomenclature is a standardized system used to classify goods for taxation and customs purposes.
- PTFE
- Polytetrafluoroethylene is a synthetic plastic material known for its heat and chemical resistance, commonly used in industrial seals.
- Advance Ruling
- A formal decision from the tax authority on how GST laws apply to a specific business transaction.
The ruling in detail
Authority for Advance Ruling
M/s. Sanghvi Products
GUJ/GAAR/R/2026/32 dated 07/08/2026 · Gujarat
Questions before the authority
- Whether PTFE braided gland packing, manufactured by interlocked/cross-plaited braiding of pure PTFE fibre yarn into flexible packing supplied in coils for use as stuffing-box packing in industrial valves, centrifugal pumps, reciprocating pumps and rotary equipment across chemical, pharmaceutical, food, engineering and other process industries, is classifiable under: (a) HSN 59119090 (Textile products and articles, for technical uses-Other) OR (b) HSN 39209949 (Other articles of plastics) OR (c) Any other appropriate HSN code, and what is the applicable GST rate thereon?
Facts
The applicant manufactures PTFE braided gland packing by braiding pure PTFE fibre yarn into flexible packing of square or round cross-section. The product is used as stuffing-box packing in various industrial pumps and valves. The applicant sought a ruling on whether the product should be classified under HSN 5911 as a textile article or under HSN 3920 as an article of plastic.
Ruling
| Question | What the authority ruled |
|---|---|
| Classification and GST rate of PTFE braided gland packing | Classifiable under HSN 39209949, liable to GST at 18%. Covered under Entry No. 121 of Schedule II of Notification No. 09/2025-Central Tax (Rate). |
The Authority ruled that the product is correctly classifiable under HSN 39209949. Consequently, it attracts GST at the rate of 18%. The contention that the product qualifies as a textile article under Chapter 59 was rejected.
Reasoning
The Authority determined that the product is made entirely of PTFE, which is a plastic material. It relied on Note 1(g) of Section XI, which excludes plastic products with a cross-sectional dimension exceeding 1mm from being considered textile articles. Since the product has a cross-section of 3mm to 25mm, it falls outside the scope of Chapter 59. The Authority further noted that **statutory tariff headings and Section/Chapter Notes** prevail over common or trade parlance.
Provisions relied on
- Section 97(2) of CGST/GGST Act, 2017
- Chapter 39 of the Customs Tariff Act, 1975
- Chapter 59 of the Customs Tariff Act, 1975
- Note 1(g) of Section XI of the Customs Tariff Act, 1975
- Notification No. 09/2025-Central Tax (Rate) dated 17.09.2025
For the practitioner
This ruling clarifies that PTFE braided gland packing is **classified as an article of plastic** under HSN 3920 rather than a textile article under HSN 5911. It serves as a reminder that technical specifications, such as cross-sectional dimensions, override industry practice in classification disputes. Practitioners should note that the Authority explicitly rejected the relevance of trade parlance when clear statutory definitions exist.
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/8-sanghvi_products_0001_compressed.pdf
Legibility of the scan, as read: high.
Prepared 11-10-2026.
About Patron Accounting LLP
Patron Accounting LLP is a CA and CS-led accounting and compliance firm that has been working with businesses across India since 2019. We handle the work that keeps a company correct with every department it answers to: day-to-day bookkeeping and accounting, GST registration and returns, income tax filing and assessments, TDS, payroll and PF/ESI, company and LLP incorporation, ROC and MCA compliance, statutory and internal audit, physical stock and inventory audits, trademark and other registrations, and the certificates and reports that banks, buyers and regulators ask for.
Our clients range from a first proprietorship registering for GST to established companies running operations across several states. Much of our work is exactly this: reading what a department has published and telling a business, in plain terms, whether it changes anything for them.
We operate from five offices and serve clients across the rest of India remotely:
- Pune (HQ): RTC Silver, B4-708, Sai Satyam Park, Wagholi, Pune, Maharashtra 412207
- Mumbai: 104, Rajshila Building, 597 J.S.S. Road, Marine Lines, Mumbai 400002
- Delhi: 3rd Floor, B-6/154-155, Sector 5, Rohini, Delhi 110085
- Gurugram: Pioneer Urban Square, B109, Golf Course Ext Road, Sector 62, Gurugram 122098
- Ahmedabad: Phoenix Tower, 1107, near Commerce Six Road, Drive In Road, Navrangpura, Ahmedabad, Gujarat 380009
If anything on this page affects you and you would like somebody to look at your own position, we are glad to help. Call +91 94594 56700, write to sales@patronaccounting.com, or visit patronaccounting.com. The first conversation costs nothing.