Fresenius Medical Care India Private Limited Vs Union of India
Date: April 8, 2024
Subject Matter
Dialysis machines falling under the HSN code '9018 90 31' are subject to a 5% IGST rate
Summary
The Delhi High Court addressed the issue of IGST rates on the import of dialysis machines by Fresenius Medical Care India Private Limited (FMC India). FMC India sought clarification from the court regarding the applicable IGST rate for the import of dialysis machines under HSN code 90189031. The court accepted the respondent’s statement that dialysis machines falling under the HSN code are subject to a 5% IGST rate, as per a notification issued on 13.10.2023. The court disposed of the petition, permitting FMC India to import dialysis machines at a 5% IGST rate, subject to verification of the HSN code.
FULL TEXT OF THE JUDGMENT/ORDER OF DELHI HIGH COURT
1. Petitioner seeks a direction to the respondents to clarify that the Integrated Goods and Services Tax [“IGST”] rate applicable to the petitioner for import of dialysis machines is 5% as per HSN code 90189031 in terms of office memorandum dated 13.10.2023.
2. Learned counsel for respondents submits that he has taken instructions and submits that dialysis machines covered under HSN code 90189031 are liable to be taxed at 5% in terms of notification dated 13.10.2023. He further submits that IGST rate of 5% is also applicable for “Artificial Kidney” and “Disposable sterilized dialyzer” (serial No. 254-55 respectively).
3. He submits that insofar as case of petitioner is concerned, subject to verification of HSN code, the same would be exigible to tax at 5% in terms of said notification.
4. Petition is accordingly disposed of binding the respondents to their statement.