TMI Blog2020 (7) TMI 111X X X X Extracts X X X X X X X X Extracts X X X X ..... BER, Note Any appeal against the advance ruling order shall be filed before the Tamil Nadu State Appellate Authority for Advance Ruling, Chennai under Sub-section (1) of Section 100 of CGST ACT/TNGST Act 2017 within 30 days from the date on which the ruling sought to be appealed against is communicated. At the outset, we would like to make it clear that the provisions of both the Central Goods and Service Tax Act and the Tamil Nadu Goods and Service Tax Act are the same except for certain provisions. Therefore, unless a mention is specifically made to such dissimilar provisions, a reference to the Central Goods and Service Tax Act would also mean a reference to the same provisions under the Tamil Nadu Goods and Service Tax Act. M/s. A.M. Abdul Rahman Rowther Co, No. 4, Old Palace Building, Pudukottai 622001 (hereinafter referred as applicant) are manufacturers of Chewing Tobacco and are registered under GST Act with Registration No. 33AAHFA0811C1ZD. 2. The applicant had filed an application for Advance Ruling on 06.02.2019 seeking ruling on the following question: Classification of the product Chewing Tobacco manufactured by them and applicability of Notif ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... HORITY FOR ADVANCE RULING, TAMILNADU passed by the Lower Authority in the case of the Appellant is set aside. The matter is remanded to the lower authority for consideration and passing of appropriate orders on whether the issue raised in the application by the appellant was already pending before the department after extending opportunity to the appellant. 5.1 On the directions of the appellate authority the applicant was requested to appear for personal hearing on 07.11.2019, Whereas the applicant requested for adjournment to the next convenient date in view of the fact that the authorized representative is out of station, Further, the applicant was extended another hearing on 13.12.2019 and the applicant again requested for adjournment. The applicant was once again extended an opportunity to be personally heard on 29.01.2020. The authorised representative of the applicant appeared before the authority and gave a written submission. They stated that the summons was issued on 08.01.2020 which was general in nature. The subsequent SCN was issued with specific issue of classification, hence, should not be counted towards proceedings under Section 98(2). The Jurisdictional Cen ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... summons has not been issued solely on the ground of classification of commodity and applicable GST rate. Therefore the reason for rejection of their application is clearly been evident that it has been made after thought by correlating the summons issued in general with possible ground for rejection as regards the subject matter of application in particular filed before AAR Further the authorized representative vide letter dated 30.01.2020 received on 04.02.2020 has submitted the decision of Hon ble Supreme Court in the case of Barium Chemicals Ltd Anr Vs A.J.Rana AIR 1972 SC 591 = 1971 (12) TMI 107 - SUPREME COURT and claimed that basis of documentary evidence which is not complete with respect to general and specific aspect are liable to be quashed. 5.3 The central Jurisdictional officer submitted the copy of the statement recorded on 09.01.2019 and also the copies of summon issued on 08.01.2019 and 19.06.2019. 5.4 The state jurisdictional officer forwarded comments on the issue raised in the application vide their letter dated 28.01.2020. They stated that under the present GST Act 2017, chewing tobacco is classified under HSN 2403 and taxable at 28% GST ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s.) 10X3 and (Rs.) 15X4. The packet of denomination of 10X3 contains 3 nos. of 30 Rs. Packets each in a paper pouch and similarly the 15X4 packets contain 4 nos. of 60 Rs. Packets each in a paper pouch. We do not add lime tubes in our final product packets. The process of manufacture does not involve machine packing. Machines are used only in the course of mincing of tobacco leaves. We clear the goods to the shop keepers from my factory gate. The final product is consumed by the user by way of Chewing. By chewing the tobacco, the same acts as a stimulant for the user. Today you pointed to us that our final product viz. Branded Chewing tobacco without lime tube is classifiable under HSN 24039910 and as such the same attracts GST Compensation Cess @ 160% as per notification 1/2017-Compensation Cess(Rate) dated 28.06.2017. In this regard, we wish to state that our above said final product is classifiable only under HSN 24039990. Though we have been classifying the same under CETH 24039910 upto June 2017, we honestly believe that our product is a product of such type classifiable under the category of Other manufactured tobacco also our product of manufactured tobacco is identifi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the applicant: Provided also that where the application is rejected, the reasons for such rejection shall be specified in the order. As per the first proviso to Section 98(2) of CGST/SGST Act, 2017 the authority shall not admit the application where the question raised in the application is already pending or decided in any proceeding in the case of an applicant under any of the provisions of this Act. In the case at hand, it is established that on the issues raised by the applicant before this authority, the Central Tax authorities have initiated proceedings and the same is pending before the Jurisdictional authority at the time of filing of this application. Therefore, the application cannot be admitted and is to be rejected without going into the merits of the issue. 7. Accordingly, we rule as under; RULING As per the remand directions, on considering whether the issue raised in the application by the appellant was already pending before the department after extending opportunity to the appellant we find that the issue raised before this authority was taken up by the Jurisdictional authority. Therefore, under first proviso to Section 98(2) or the CGST/TNG ..... X X X X Extracts X X X X X X X X Extracts X X X X
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