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TMI Blog2016 (2) TMI 784X X X X Extracts X X X X X X X X Extracts X X X X ..... y soft drink concentrate - Held that:- We find Notes 1 and 2 of the 2nd Schedule, extracted (supra) will make it clear that the Chapter Notes and Supplementary Notes of the 1st Schedule shall apply to the interpretation of the 2nd Schedule. As such, we find that valid and admitted classification of BIB under 2106 90 50 in terms of Supplementary Notes 4 of Chapter 21 of 1st Schedule cannot be included under Tariff item 2106 90 19 of 2nd Schedule. We find that impugned order simply quoted the Boards above-mentioned clarification without any analysis of its application. Provisions of General Clauses Act were quoted by lower Authority. We find no possible application for the same in the present case. The impugned order has not analyzed the appe ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... al order and rejected their appeal. Aggrieved by this, the appellant is before us in appeal. 2. The learned Consultant for the appellant submitted that the Central Excise Tariff Act got amended through Central Excise Tariff (Amendment) Act, 2004, whereby 6 digit Central Excise Tariff code were converted into 8 digit Central Excise Tariff code. Consequent on such amendment, BIB is classified under Tariff entry 2106 90 50 and is not liable to Special Excise Duty in terms of the 2nd Schedule to the Tariff Act. He further submitted that BIB is a soft drink concentrate suitable for manufacture of aerated water. The same is packed and supplied in QCD bags for use as raw material for the manufacture of aerated water in the automatic vending mac ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the First Schedule, the Section and Chapter Notes and the General Explanatory Notes of the First Schedule shall apply to the interpretation of this Schedule . 4. He further submitted that the Boards clarification cannot be applied retrospectively to their case contrary to the statutory provisions, as discussed above. Even if the Boards clarification has to be considered it has no relevance to the present case as BIB is more specifically covered under Tariff Heading 2106 90 50 in view of Supplementary Notes 4 of Chapter 21 of 1st Schedule. The clarification is with reference to preparations for lemonades and other beverages intended for use in manufacture of aerated water, whereas the product in question is BIB which is a compound pre ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ties. We find that such finding is misconceived. The reliance placed for different classification of the same product in the Board clarification is Note 3 of the 2nd Schedule. The said Note specifies the scope of heading 2106 90 19 to the effect that this will not include the products other than preparations for lemonades or other beverages intended for use in the manufacture of aerated water. We find the said tariff item entry in the 1st Schedule covers other soft drink concentrates (other than Sharbat). The case of the appellant is that their product is a compound preparation for making non-alcoholic beverages and this automatically does not imply soft drink concentrate. As such, the classification in the 1st Schedule under heading 2106 9 ..... X X X X Extracts X X X X X X X X Extracts X X X X
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