The Tamil Nadu Authority for Advance Ruling (AAR) has held that Acer India Private Limited’s Interactive Flat Panels (IFPs) will be classified under tariff heading 85285900 and attract 28% Goods and Services Tax (GST).
The bench of C. Thiyagarajan (Member-CGST) and B. Suseel Kumar (Member-SGST), disagreed with Acer’s contention that the government’s earlier circular on IFPs was restrictive. The Authority clarified that the features listed in the circular were only illustrative and highlighted the essential differences between monitors and interactive flat panels.
Acer India, which manufactures and sells laptops, desktops, workstations, tablets, projectors, monitors, and related IT accessories, had approached the AAR under Form GST ARA-01 on October 23, 2024. The company sought clarity on the classification of its interactive flat panels and the applicable GST rate, particularly since these products are either imported as finished goods or manufactured through contract partners in India.
The core question before the Authority was whether Acer’s range of interactive flat panels—equipped with advanced features for educational and corporate collaboration—could be classified differently from standard monitors, which typically attract a lower GST rate.
Acer argued that IFPs had distinguishing features such as touch-enabled screens, educational tools, and enhanced connectivity, which aligned them more closely with audio-visual communication devices than conventional display monitors.
The ruling emphasized that despite additional features, Acer’s interactive flat panels remain within the classification of monitors under Customs Tariff Heading 85285900, which covers “Monitors and projectors, not incorporating television reception apparatus, other than cathode-ray tube monitors.”
The AAR held that Acer’s interactive flat panels are to be classified under tariff item 85285900, which will be subject to 28% GST.
Ruling Details
Applicant’s Name: M/s. Shibaura Machine India Private Limited
Ruling Date: 2025-08-12
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