Sub:- APVAT Act, 2005 – Request for clarification defining the moulded plastic foot wear – Clarification – Issued.
Ref:- 1. From the Secretary, The Vijayawada Foot Wear Dealers Association, Vijayawada, Lr.dt.15-9-2008.
2. Govt. Memo.No.48659/CT-II(1)/2008-1, dt.22-9-2008.
3. From the CCT, Ref.No.AIII(2)/251/2008, dt.1-10-2008.
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In G.O.Ms.No.1615, dt.31-8-2005, the HSN Codes were notified in respect of thirteen (13) items in Schedule-I and Seventy (70) items in Schedule-IV specified.
2. In G.O.Ms.No.818, dt.30-6-2008, the Entry 46 was substituted as "Moulded Plastic Footwear and Hawai Chappals and straps thereof." In Schedule – IV of APVAT Act, 2005.
3. The Secretary, the Vijayawada Footwear Dealers Association vide reference Ist cited, requested the Government for clarification clearly defining the moulded plastic footwear with a view to avert the incidence of the tax on the footwear manufactured with the help of moulding process and purely sold to the poor people.
4. The Commissioner of Commercial Taxes vide reference 3rd cited, has submitted report in the matter.
5. Government after careful examination in the matter, hereby delete the HSN Code 6401.10.10 from Entry 46 of Schedule-IV of APVAT Act, 2005 and hereby clarify that Moulded Plastic Footwear as described in Entry 46 also includes not only the footwear of one moulded plastic piece but also more than one piece moulded and joined together.
6. The Commissioner of Commercial Taxes is therefore requested to take further necessary action in the matter.
G.SUDHIR
PRINCIPAL SECRETARY TO GOVERNMENT