9911796707
TMI Blog2019 (9) TMI 1221X X X X Extracts X X X X X X X X Extracts X X X X ..... the same under Customs Tariff sub heading 17049090. They were availing benefit of exemption notification No. 46/2011 - Cus dt. 01.06.2011. They were issued show cause notice dt. 04.03.2015 alleging that the goods are classifiable under chapter sub heading 21069099 and the exemption has been wrongly claimed. A differential duty of Rs. 21,42,792/- was demanded from them alongwith interest and to impose penalty. The demands were set aside by upholding the classification by the Additional Commissioner of Customs. The revenue filed appeal against the said order before Commissioner (Appeals), Custom, Ahmedabad who set aside the order and allowed the appeal filed by the revenue. Aggrieved the Appellant has filed the present appeal. 2. Shri Willin ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... are Chewing gum, Jelly Confectionary, Boiled Sweets, Toffees, Caramel and Similar Sweets. Consequentially the Jelly Puddings in question which are sweet meats prepared by confection will also be covered under heading 17.04. He also takes us through HSN Explanatory Note under chapter 17.04. he submits that as per Rule 3 of General Rules for interpretation of the First Schedule to the Customs Tariff Act, 1975, the heading which provides the most specific description shall be preferred. The 17049010 is more specific rather than 21.06 which is applicable to food preparation. That the contention of the revenue that supplementary note 5 to chapter 21 (miscellaneous edible preparations) specifically stipulates that the sub-heading 21.06 interalia ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... De coco having percentage from 9.80% to 17.25% alongwith fruit extracts with 5%. The explanatory notes indicate that sweetened food preparation preserved by sugar and jams, fruit jellies are not covered under chapter 17.04 but under chapter 20.06 or 20.07 and further since the impugned goods are not sweetened preparations of vegetables, fruits preserved by sugar, therefore the same are excluded from the purview of the heading 20.06/ 20.07 and consequentially such goods are classifiable under the residual heading on 21.06 which covers food preparations not elsewhere specified. 5. We find that Chapter sub heading 1704 covers "Sugar Confectionary (including white Chocolate) not containing cocoa. Sub heading 1704 90 10 covers Jelly Confectiona ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... mation furnished with regard to the impugned product 'FUNDA' and also Glucose D, we find that both the product contain sucrose/sugar nearly 99%. We also find that the Board's Circular cited by the learned Advocate classifies Glucose D under Chapter 17. Therefore, there is no reason as to why the impugned product, which is very similar to Glucose D, should be classified under Chapter 21. This point has not been examined by the lower authorities. Further, Chapter Heading 21.06 is a residuary heading. It should be resorted to if the impugned products cannot be classified elsewhere. Further, on going through Note 6 of Chapter 21, which gives the examples of the products included in 21.06, it is evident that the impugned product FUNDA cannot com ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... rity upheld the said classification and sustained the order of demand of duty along with the interest and also imposed penalty. 5. After considering the submissions by the ld. SDR, we find that the issue involved in this case is of classification of the product from Chapter 17 to Chapter 30. Both the lower authorities have held that the said classification of the product is under Chapter 17 only and correctly demanded the duty and interest thereof. We do not find any merit in the appeal filed by the Revenue on this point and accordingly we uphold the classification confirmed by the lower authorities and uphold the demand of penalty and interest, which stand deposited during the proceedings." 8. Thus in view of above facts and judgments, ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
