Central Excise - Chapter 24 - Question of classification of Tobacco Powder - Regarding - Central Excise - 1/88

Central Excise - Chapter 24 - Question of classification of Tobacco Powder - Regarding Circular No. 1/88 Dated 21-3-1988 [From F. No. 81/2/88-CX.3] Government of India Ministry of Finance (Department of Revenue) New Delhi Subject: Central Excise - Chapter 24 - Question of classification of Tobacco Powder - Regarding. A doubt has been raised as to whether tobacco powder obtained by crushing of unmanufactured tobacco leaves would be classifiable under sub-heading No. 2404.90 of the Central Excise Tariff Act, 1985 as a manufactured tobacco product or under sub-heading No. 2401.90 of Central Excise Tariff Act, 1985 as an unmanufactured tobacco product. 2. The matter was discussed in the North Zone Tariff-cum-General Conference of Collectors of Central Excise held on 12-2-1988 at Meerut. The Conference was to view that deliberate powdering of tobacco leaves was definitely a process of manufacture and as such, tobacco powder would be appropriately classifiable as a "manufactured tobacco product: under sub-heading 2404.90 of the CET. The H.S.N. Explanatory notes under HSN heading No. 24.01 (page 179-180) do not also describe powdered tobacco as an 'unmanufactured tobacco product'. 3. The Board agrees with the above views of the Conference and accordingly hold that such tobacco powder would be appropriately classifiable under sub-heading No. 2404.90 of the CET as a 'manufactured tobacco product'. 4. The trade interests may also be suitably advised. 5. All pending assessments may be decided in the light of the above decision.