9911796707
TMI Blog2022 (2) TMI 717X X X X Extracts X X X X X X X X Extracts X X X X ..... 1 issued by Authority for Advance Ruling, Andhra Pradesh. 1. Background of the Case: * M/s. Sri Manjunatha Fruit Canning Industries is a partnership firm registered under the partnership Act, 1932, and engaged in the business of supplying of mango pulp/puree to the dealers situated in India, including merchant export. The applicant submitted the manufacturing process of the Mango pulp/puree as under. * The Manufacturing process of Mango pulp: The applicant states that selected varieties of fresh mango fruits are procured and transported to the fruit processing plant. The fruits are inspected, graded and washed and sent to the controlled ripening chambers. The fully ripened mango fruits are then washed, blanched, pulped, deseeded, centrifuged, homogenized, and thermally processed. The preparation process includes cutting, de-stoning, refining and packing. The refined pulp is packed in cans, hermetically sealed and retorted. The applicant claims, this process ensures the retention of the natural flavor and aroma of the fruit in the final product. The applicant submits that the product in question is called 'pulp' in some countries and 'puree' in some other countri ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... onary meaning of beverages is that, 'condition of being in liquid form and must be drinkable other than water'. 2.4 The appellant submits that as per the explanation at the end of the Notification No.1/2017 - Central Tax (Rate), dt:28.06.2017 which inter alia provides - "Tariff item", "sub-heading" "heading" and "chapter" shall mean respectively a tariff item, subheading, heading and chapter as specified in the first schedule to the customs tariff Act, 1975 (51 of 1975). Therefore, it is implied by virtue of above explanation, the classification of goods has to be done in accordance with Customs Tariff Act 1975. Under the said notification Heading 2007 is provided against SI.No.39 and no sub-heading/tariff item were provided like in the case of most of the other goods notified there under. The appellant submits that as per the General Rules of Interpretation, when the goods are described against the Heading containing 4 digits all the sub-headings and tariff items would be comprehended under such entry. Once the heading/tariff item is recognized, the rate of GST would be governed by the said notification. Once 4 digits is mentioned in chapter sub heading tariff in Serial N ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... n perusal of the appeal and submission made by the appellant at the time of Hearing, it is observed that the main issue of contention is the classification of the product 'Mango Pulp/Puree' and it's taxability thereon. 4.1 In paragraph 2.1, the appellant claims that 'mango pulp/puree' is fresh fruit and not exigible to tax. In support of this argument, the case laws cited by him, as referred to in 10APSTJ page 219 and in 24APSTJ page 113, are irrelevant and not applicable as the facts of the instant case are different from the above cases. The cases cited are with reference to milk and milk products, which is way too different from the present context i.e., Mango Pulp, 4.2 In paragraph 2.2, the appellant states that there is no difference between puree and pulp. This authority does not differ with the above opinion as far as the nomenclature of the product is concerned. 4.3 In paragraph 2.6, the appellant claims that the lower Authority failed to discuss the applicability of code 0804 for 'Mango Pulp'. Now we examine the classification of the product, Mango Pulp in the context of the above contention. At the outset, in order to classify any product, ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... in the subsequent chapters. 4.4 In paragraphs 2.4, 2.5, 2.6 and 2.7 the appellant requests the classification of the product under Chapter Heading 2007 and submits that the Mango Pulp is 'Fruit Puree obtained by cooking'. The appellant draws attention to Chapter Note 5 to Chapter 20, according to which the expression- "obtained by cooking" means obtained by heat treatment at atmospheric pressure or under reduced pressure to increase the viscosity of a product through reduction of water content or other means. This Authority disagrees with the contention of the appellant in view of the following. There is a specific entry for 'Mango pulp' under chapter 8, and it is also mentioned categorically in Notes to chapter 20 that, 'the fruits or nuts prepared or preserved by the processes specified already in Chapter 8 shall not be covered under chapter 20'. The excerpt of the chapter notes is presented below. "CHAPTER 20 Preparations of vegetables, fruit, nuts or other parts of plants NOTES: 1. This Chapter does not cover : (a) vegetables, fruit or nuts, prepared or preserved by the processes specified in Chapter 7, 8 or 11;" In this regard this authority o ..... X X X X Extracts X X X X X X X X Extracts X X X X
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