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2017 (11) TMI 1315 - MADRAS HIGH COURTRate of tax - confectionery items produced and packed in covers containing the name V.R.S. Confectionery, Rasipuram - whether taxable at 12% under residuary entry or 4% as unbranded confectionery? - Whether the items can be said to have Brand names? - Held that: - the mentioning of the name of the petitioner being the producer of those goods in the packing materials cannot be construed as a brand or a brand name or a trade mark or a trade name. At best, it can be taken to indicate the name of the producer of goods, which are contained in the packs. The confectionery items have been specifically mentioned in entry item-4 (iii) of Part-B of first schedule of the TNGST Act taxable at 4%. This being a specific entry the general entry or residuary entry, could be invoked only when a product can be dealt with in any of the entries. Even assuming the respondents construe the products produced by the petitioner as a bakery product, even then, regardless of the product with a brand name or without a brand name registered under the Trade and Merchandise Marks Act, 1958, it would fall under entry Item-11 (ii) of Part-B of first schedule of the TNGST Act. So far as the clarification is concerned, admittedly, the petitioner did not have an opportunity of personal hearing before the clarification was issued. Though, the petitioner sought for revision of the clarification, the same was rejected by letter dated 31.07.2006 - the clarification issued by the Commissioner dated 29.08.2005 is clearly unsustainable. The petitioner is liable to the taxed only at 4% - petition allowed - decided in favor of petitioner.
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