Home Case Index All Cases GST GST + AAR GST - 2023 (7) TMI AAR This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2023 (7) TMI 871 - AUTHORITY FOR ADVANCE RULINGS, KARNATAKAClassification of goods - rate of GST - Chikkies covered under sugar confectionery - Scope of Sugar Confectioneries - Sesame Chikkies - Amaranth Chikkies - Crushed Peanut Chikkies - Spirulina Chikkies - Dry Fruit Chikkies - Chocolate Peanut Chikkies - classifiable under chapter heading 1704 or under chapter heading 1806 90 20 - benefit of N/N. 1/2017-Central Tax (Rate) dated 18.06.2017. HELD THAT:- It is observed on examination of the questions that the important and common ingredient in all of these products is jaggery, which is an unrefined natural sugar that is produced without adding any chemicals. Jaggery, like sugar, is made from sugarcane without separating the molasses. Thus jaggery broadly can be termed as a form of sugar - Sugar preparations which are marketed in a solid or semi-solid form generally suitable for immediate or direct consumption without further processing are collectively referred to as confectioneries. Chikkis, which are jiggery based preparations and are meant for direct consumption as snacks, are squarely covered under term Sugar Confectioneries. Classification of goods under Sugar Confectionery - HELD THAT:- Chapter 17 of the Customs Tariff Act 1962 covers Sugars and Sugar Confectionery and chapter heading 1704 covers Sugar Confectionery (including white Chocolate) not containing cocoa. Thus all the sugar confectionery that do not contain cocoa are covered under heading 1704. In the instant case it is observed that the impugned products except "Chocolate Peanut Chikkies" do not contain cocoa and thus the products "Sesame Chikkies, Amaranth Chikkies, Crushed Peanut Chickies, Spirulina Chikkies and Dry Fruit Chickies" are squarely covered under Sugar Confectionery and thus fall under heading 1704. It is an admitted fact that the product "Chocolate Peanut Chickies" contain cocoa powder and thus the said product is not covered under Chapter 17. Cocoa and Cocoa Preparations are covered under Chapter 18; Chapter heading 1806 covers Chocolate and other food preparations containing cocoa and chapter heading 1806 90 20 covers Sugar Confectionery containing Cocoa. Thus the product "Chocolate Peanut Chikkies" that contains cocoa powder admittedly is covered under the chapter heading 1806 90 20. GST rates applicable on the impugned products - HELD THAT:- The products i.e. various types of chikkies that are covered under chapter heading 1704 are exigible to GST @5%, in terms of entry number 92 to Schedule-I to the Notification No. 1/2017-Central Tax (Rate) dated 18.06.2017, as amended by the Notification 41/2017-Central Tax (Rate) dated 14.11.2017. Rate of GST applicable to the product "Chocolate Peanut Chickies" - HELD THAT:- The impugned product being a Sugar Confectionery containing Cocoa is covered under chapter heading 1806 and is exigible to GST @ 18%, in terms of entry number 12C of the Schedule - III to the Notification No. 1/2017-Central Tax (Rate) dated 18.06.2017, as amended by the Notification 41/2017-Central Tax (Rate) dated 14.11.2017. The "Dry Fruit Chikkies" are classifiable under chapter heading 1704.
|