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2019 (8) TMI 1219 - AAR - GSTClassification of goods - FANTA FRUITY ORANGE - whether the product “FANTA FRUITY ORANGE” with 10.5% Orange juice, would be classifiable under Tariff Item 2202 99 20 as “Fruit pulp or fruit juice based drinks” or under 220210 at Sl. No. 12 under Schedule IV as “All goods [including aerated waters], containing added sugar or other sweetening matter or flavoured”? - N/N. 1/2017-Central Tax (Rate) dated 28.06.2017 (as amended) and Notification No. 1/2017- State Tax (Rate) dated 30.06.2017 (as amended). HELD THAT:- As per the label of the product, Orange Juice Concentrate is 1.6% of the product. As submitted by the applicant, the Orange Juice is reconstituted out of this Orange Juice Concentrate. Under the circumstances, a question arises whether the product ‘Fanta Fruity Orange’ can be termed as ‘Fruit pulp or fruit juice based drinks’. It is pertinent to note that the terms used in the said tariff item is ‘Fruit pulp’ or ‘fruit juice’ based drinks and the said entry do not refer to the term ‘Fruit juice concentrate’ based drinks. Therefore, the said entry would cover the ‘Fruit pulp based drinks’ or ‘Fruit juice based drinks’ only. The ‘Fruit juice concentrate based drink’ are not covered under the said entry. It is not the case of the applicant that the product ‘Fanta Fruity Orange’ is manufactured from ‘Fruit pulp’ or ‘Fruit juice’ as the said product is undisputedly manufactured from ‘Orange Juice Concentrate’. Under the circumstances, the said product do not fall under the Tariff Item 2202 99 20. Thus, the product ‘Fanta Fruity Orange’ would not fall under Tariff Sub Heading 2202 10, but it would fall under Tariff Sub Heading 2202 99. Further, the said product is not a ‘Fruit pulp or fruit juice based drinks’, therefore it would not fall under Tariff Item 2202 99 20. The said product is neither ‘Soya milk drinks’ nor ‘beverage containing milk’ therefore it would also not fall under Tariff Item 2202 99 10 or 2202 99 30. Therefore, the product ‘Fanta Fruity Orange’ is appropriately classifiable under Tariff Item 2202 99 90 as ‘Other non-alcoholic beverages, other than tender coconut water’ and would attract Goods and Services Tax @ 18% as per Sr. No. 24A of Schedule- III of Notification No. 1/2017-Central Tax (Rate) dated 28.06.2017, as amended and Notification No. 1/2017-State Tax (Rate) dated 30.06.2017, as amended.
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