TMI Blog2019 (10) TMI 1089X X X X Extracts X X X X X X X X Extracts X X X X ..... oned by and covered under Sl. No. 27 in Schedule II. The entry at Sl. No. 90 in Schedule I applies to vegetable oils which have been subject to processes like boiling, oxidation, dehydration, sulphurisation, blowing, polymerization and by heat in vacuum or in inert gas or otherwise chemical modification. The resultant product remains edible despite undergoing the aforementioned processes. However once fragrance has been added to the mixture of several edible oils, the resultant product becomes inedible and entry at Sl. No. 27 of Schedule II specifically covers inedible mixtures of vegetable oils. Therefore the product pooja oil finds a very specific entry in Schedule II. Thus it is more appropriately covered under Sl. No. 27 in Schedul ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the stated activity: i. The applicant states that for the purpose of manufacture of pooja oil, the oil is not extracted but different edible grade oils (raw materials like rice bran oil, sesame oil, fragrance or essential oils etc.,) are procured mixed and blended in appropriate proportions. Fragrance is added as per the requirement of the public. ii. Notification No. 1/2017 CT (R) dated 28.06.2017 specifies two different entries for tariff heading 1518, one under entry number 90 of Schedule-I, taxable at 5% GST and the other under entry no.27 of Schedule - II, taxable at 12% GST. iii. These two different entries under different schedules caused the applicant to file the instant application seeking clarificat ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... c. Collector of Central Excise vs. India Petrochemicals [1997 (92) ELT 13 (SC)] = 1996 (12) TMI 66 - SC ORDER In view of the above, the applicant submits that even if their product pooja oil is covered under Schedule-Il of the said notification, they are entitled to adopts the classification beneficial to them under Schedule -I of the said notification, taxable at 5% GST. vii. The applicant submits that on a similar issue advance ruling has been passed by Andhra Pradesh Authority wherein it is ruled that the product Energy-G premium is classified under tariff heading 1518, covered under Schedule-I of the said notification, taxable at 5% GST. In view of the above, the applicant concludes that the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Notification No.01/2017-CT(R) dated 28.06.2017, as amended from time to time . We proceed to examine the classification of the product pooja oil and then the issue of coverage under Schedule-I or II of the said notification and thereby the applicable tax thereon. 5.4 Notification No. 1/2017- Integrated Tax (Rate) dated 28.06.2017 (hereinafter called said notification ) at Explanation (iii) to the said notification provides that Tariff item , sub-heading , heading , and Chapter shall mean respectively a tariff item, sub-heading, heading and chapter as specified in the First Schedule to the Customs Tariff Act, 1975. Further, Explanation (iv) provides that the rules for the interpretation of the First Schedule to the Customs T ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... y brings out that an inedible mixture of vegetable oils are specifically mentioned by and covered under Sl. No. 27 in Schedule II. The entry at Sl. No. 90 in Schedule I applies to vegetable oils which have been subject to processes like boiling, oxidation, dehydration, sulphurisation, blowing, polymerization and by heat in vacuum or in inert gas or otherwise chemical modification. The resultant product remains edible despite undergoing the aforementioned processes. However once fragrance has been added to the mixture of several edible oils, the resultant product becomes inedible and entry at Sl. No. 27 of Schedule II specifically covers inedible mixtures of vegetable oils. Therefore the product pooja oil finds a very specific entry in Sch ..... X X X X Extracts X X X X X X X X Extracts X X X X
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