TMI Blog1980 (1) TMI 97X X X X Extracts X X X X X X X X Extracts X X X X ..... s carries on the business of repacking glucose in small packets. The petitioner purchases glucose from M/s. Anil Starch Products Ltd. and M/s. Maize Products, Ahmedabad packed in bags. The petitioner repacks glucose in small cartons and tin containers with the label containing trade mark of Eagle Brand. The manufacturers namely, M/s. Anil Starch Products Ltd. and M/s. Maize Products, from whom the petitioner purchases glucose in bulk, pay excise duty under Tariff Item No. 1-E of Schedule I of the Central Excises and Salt Act 1944, and put on every bag and bills the specific wording "Not for Medical Use '. The view taken by the Asstt. Collector and the Appellate Collector is that repacking of glucose done by the petitioner amounted to "manuf ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Homoeopathic twelve and a half per cent ad valorem. Explanation I. "Patent or proprietary medicines" means any drug or medicinal preparation, in whatever form, for use in the internal or external treatment of, or for the prevention of ailments in human beings or animals which bears whether on itself or on its container or both, a name which is not specified in a monograph in a Pharmacopoeia, Formulary or other publications notified in this behalf by the Central Government in the Official Gazette or which is a brand name that is, a name or a registered trade mark under the Trade and Merchandise Marks Act, 1958 (43 of 1958), or any other mark such as a symbol, monogram label signature or invented words or any writing which is used in rela ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e been grouped together under different headings. Item Nos. 1 to 3 come under the heading "Food". Item No. 1-E which is one of these items is widely worded. Glucose in whatever form including liquid glucose, dextrose monohydrate and anhydrous dextrose and preparations of glucose and dextrose are taxable under this entry at 10% ad valorem. Item No. 14-E comes under the head "Chemicals". The separate enumeration of glucose under the heading "Food" is a very significant indication that the Schedule does not treat glucose as a patent or proprietary medicine falling under Tariff Item No. 14-E. Patent or proprietary medicine within Tariff Item No. 14-E must be a drug or medicinal preparation. There is no definition of "drug" contained in the Act. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... medicines unless they are in accordance with the Drugs and Cosmetics Act [see Calcutta Clinical Research Assoc. Ltd. v. The Union of India, 1971 Tax LR 1073 at p. 1076 (Cal)]. Glucose having been separately classified as an article under the heading "food" in Tariff Item No. 1-E, we think that the reasonable inference to draw is that it was not intended to be included in Item No. 14-E which comes under the head "Chemicals". In our opinion, the Asstt. Collector was not right in taxing glucose repacked by the petitioner under Item No. 14-E. 6. The petition is allowed. The impugned orders of the Assit. Collector and the Appellate Collector are quashed. There shall be no order as to costs. Security amount be refunded to the petitioner. - ..... X X X X Extracts X X X X X X X X Extracts X X X X
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