Home Case Index All Cases Central Excise Central Excise + HC Central Excise - 2013 (5) TMI HC This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2013 (5) TMI 736 - UTTARAKHAND HIGH COURTManufacture of cough syrups of different brand names such as Xenocof-D, Instacodin, Codistar Cough Syrup, Wilecod Syrup. - Levy of duty as “narcotic” or “narcotic drugs” - Medicinal and Toilet Preparations (Excise Duties) Act, 1955 - held that:- There is a specific contention of the petitioner that the quantity of codeine phosphate used by the petitioner is much below the prescribed limit – a fact which has not been controverted by the State Government in its counter affidavit. In order to substantiate his argument, the learned counsel for the petitioner Mr. P.R. Mullick has placed two judgments before this Court. One by the Division Bench of Bombay High Court in M/S USV Limited and another v. State of Maharashtra and others (2006 (8) TMI 217 - HIGH COURT OF BOMBAY) where the issue before the Bombay High Court was whether the Dexovon Capsules which contain 70 mg of “Dextropropoxyphene-HCl” (for short DXC) per dosages per unit and is less than the prescribed limit of 135 mg of per dosage can be classified as narcotic or narcotic drug and hence would be liable to pay State Excise Duty under the Act. The Division Bench came to the conclusion that Excise Duty cannot be charged on the said product because the dosages of narcotic in the products are much less the prescribed limit. Another judgment relied upon by the petitioner is Amrik Singh v. The State of Punjab (1996 (4) TMI 447 - PUNJAB & HARYANA HIGH COURT), where also the Codeine Phosphate was being used for preparation of cough syrups in the proportion of 9.5 mg per 5 ml, i.e. per dosage unit and the Court held that the preparation in question falls within the ambit of the exception as contained in the item at Serial No. 35 of the Notification issued by the Central Government. Revenue directed not to charge excise duty on the cough syrups being prepared and sold by the petitioner under the brand names of Xenocof-D, Instacodin, Codistar Cough Syrup, Wilecod Syrup if it contains Codeine Phosphate less than the prescribed limits. - Decided in favor of assessee.
|