Rate of tax (goods)— In the instant case, the applicant is supplying pressure tight cables and non-pressure tight cables and special cables for use in the S4 submarine by the Defense Machinery Design Establishment(DMDE), Ministry of Defense, Government of India. The applicant is desirous to clarify the goods supplied by them are eligible for a concessional rate of tax under Sl.No.252 read with Sl.No.250 of Schedule I in Notification No. 01/2017 dated: 28.06.2017.

Question raised before this authority is as follows—

a. What is the applicable rate of CGST on the supply of pressure tight cables, non-pressure tight cables and special cables for use in S4 submarine supplied by the Applicant to DMDE, Ministry of Defense, Govt of India.

b. Whether these goods would be considered to be as parts of warships and accordingly classifiable under Sl.No.252 read with Sl.No.250 of Schedule I in Notification No. 01/2017 dated: 28.06.2017.

The applicant claims to be supplying cables to Warships and that such parts of warships are eligible for concessional rate of tax of 5% under CGST & SGST by virtue of Entry 252 read with Entry 250 of Schedule I to the Notification No. 01/2017.

Held that— 5% GST is applicable on the supply of pressure tight cables, non-pressure tight cables and special cables for use in S4 submarine supplied by the Applicant to DMDE, Ministry of Defense, Govt of India.

These goods would be considered to be as parts of warships and accordingly classifiable under Sl.No.252 read with Sl.No.250 of Schedule I in Notification No. 01/2017 dated: 28.06.2017.