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TMI Blog2020 (6) TMI 481X X X X Extracts X X X X X X X X Extracts X X X X ..... this, the said product falls under entry at Sr. No. 15 of Schedule III of Notification No.1/2017 CENTRAL TAX (Rate) Dated 28-6-2017 and attracts 9% CGST and 9% SGST or 18% IGST. X X X X Extracts X X X X X X X X Extracts X X X X ..... ier time laying down the principle for determining the classification of commodity and the principle laid down therein is that a cereal grain, even after applying a process of heating, it does not lose its basic characteristics and thus it remains the same cereal grain and this principle is applicable squarely also to Maize as popcorn. The applicant also clarified that the above commodity is classified under Chapter 10, which is for CEREALS and as per the above judgment, though a simple process of heating is done on Maize and to make it palatable other ingredients like salt and turmeric powder are added to it, still it remains a Cereal grain and further clarified that the use of negligible quantity of oil is only for the purpose of sticking the salt and turmeric on the maize/corn, and not for cooking/frying. 4. The applicant further placed reliance on a judgment delivered by High Court Gujarat in the case of M/s Vadilal Wafers Company (S. T. Reference No.31 of 1980 Dt. 24-02-1982) which is, in their view, a direct judgment on POPCORN and is applicable squarely to the present case also. The applicant contended that this case directly dealt with by Hon. Guj. H. C. on the issue of in ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... GGST Act') or the Integrated Goods and Services Tax Act, 2017 (herein after referred to as the 'IGST Act'). 8. It is observed that the Explanation (iii) and (iv) to the Notification No. 1/2017Central Tax (Rate) dated 28.06.2017 provides as follows :- [Explanation. - For the purposes of this notification, - (i) ….........… (ii) …..........… (iii) "Tariff item", "sub-heading" "heading" and "Chapter" shall mean respectively a tariff item, sub-heading, heading and chapter as specified in the First Schedule to the Customs Tariff Act, 1975 (51 of 1975). (iv) The rules for the interpretation of the First Schedule to the Customs Tariff Act, 1975 (51 of 1975), including the Section and Chapter Notes and the General Explanatory Notes of the First Schedule shall, so far as may be, apply to the interpretation of this notification.] 9. Further, Hon'ble Supreme Court, in the case of L.M.L. Ltd. Vs. Commissioner of Customs [Civil Appeal No. 3764 of 2003, decided on 21.09.2010 reported at [2010 (258) ELT 321 (S.C.)] = 2010 (9) TMI 12 - SUPREME COURT, has held as follows :- [12. In Collector of Central Excise, Shillong v. Wood Crafts Products Ltd. reported ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ax (Rate) dated 28.06.2017. But there is an entry most akin to the product and process (chapter heading 1904) at Sr. No. 15 of Schedule III of Notification No.1/2017 CENTRAL TAX (Rate) Dated 28-6-2017 and attracts 9% CGST and 9% SGST or 18% IGST. The Entry, at sr. No. 15, in the Schedule III is as follows: SCHEDULE III - 9% S.No. Chapter / Heading / Sub-heading / Tariff item Description of Goods (1) (2) (3) 15 1904 All goods i.e. Corn flakes, bulgar wheat, prepared foods obtained from cereal flakes [other than Puffed rice, commonly known as Muri, flattened or beaten rice, commonly known as Chira, parched rice, commonly known as khoi, parched paddy or rice coated with sugar or gur, commonly known as Murki] 13. The applicant's contention that their product falls under Sr. No. 50 of Schedule I of Notification No.1/2017 CENTRAL TAX (Rate) Dated 28-6-2017, is not acceptable on the following grounds:- (a) This entry pertains to Chapter Heading 1005, which is meant for Maize (corn). Note 1.(A) to the Chapter 10 clearly mentions that 'the products specified in the headings of this Chapter are to be classified in those headings only if grains are present, whether or not in the ..... X X X X Extracts X X X X X X X X Extracts X X X X
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