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TMI Blog2018 (4) TMI 27X X X X Extracts X X X X X X X X Extracts X X X X ..... s does not find merit - It would appear that the legislature did not intend interference with the 'retail selling price' except where the price at the retailer end varied with the declaration made for assessment, the enforcement empowered by Central Excise Act, 1944. The Customs Act, 1962 does not provide the wherewithal to do so. The re-determination of value for assessment of additional duties of customs by the adjudicating authority fails to find the backing of law. Appeal dismissed - decided against Revenue. X X X X Extracts X X X X X X X X Extracts X X X X ..... der dropped the proposal to reclassify the goods declared to be 'whey' under heading no.0404. Revenue is aggrieved by this. 3. The adjudicating authority, while reclassifying the other imports as proposed in the show cause notice, directed, in addition, the re-determination of 'retail selling price' of the items in the bills of entry as proposed in the notice for recovery of differential duty to the extent of ₹ 55,96,627 under section 28 of Customs Act, 1962 along with interest thereon under section 28AA of Customs Act, 1962. Furthermore, the goods so misdeclared, though not available, were held to be liable under section 111(m) of Customs Act, 1962 for confiscation, for which fine of ₹ 28,00,000 in lieu was ord ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... manufactured by them contains only natural milk constituents except stabilizers added by them within prescribed quantity as permitted under the Prevention of Food Adulteration Rules in accordance with HSN Explanatory Notes to Chapter 4. It is stated by them that for the product to be classified under sub-heading 1901.19, HSN Explanatory Notes had given examples on page 147 of Harmonized Commodity Description and Coding System Second Edition Volume 1 Section III "Food preparations of goods of headings 04.01 to 04.04, not containing cocoa or containing less than 5% by weight of cocoa calculated on a totally defatted basis, not elsewhere specified or included. The preparation of this heading may be distinguished from the products of Headi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... o to the Heading 19.01 only if it contains other ingredients not permitted by Heading 04.01 to 04.04. We find that in the present case no other ingredients except permissible stabilizers have been added. Addition of stabilizers is essential to maintain the consistency and shelf life of the products. HSN Explanatory Note also qualifies the addition of stabilizers without changing its classification from Chapter 4 to 19. The ratio of the decisions relied upon by the Revenue has no relevance to the present dispute. We, therefore, classify the products SSM and MSM under subheading 0404.90 of the Central Excise Tariff. The other two products i.e. coffee creamer and cream packed are also classified under sub-heading 0404.904. There is no reason g ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... rovision for ascertainment of transaction value, and its substitute values, did not expand beyond the scope of value as described in section 14 of Customs Act, 1962. Accordingly, the mechanics of ascertainment of assessable value under section 14 of Customs Act, 1962 may not be extended to confer authority for, or to provide the means to, re-determine the 'retail selling price' referred to in Customs Tariff Act, 1975. It would appear that the legislature did not intend interference with the 'retail selling price' except where the price at the retailer end varied with the declaration made for assessment, the enforcement empowered by Central Excise Act, 1944. The Customs Act, 1962 does not provide the wherewithal to do so. 8. ..... X X X X Extracts X X X X X X X X Extracts X X X X
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