In re M/s. Rich Dairy Products (India) Pvt Ltd (GST AAAR Tamil Nadu)
AAAR upheld the order of AAR and held that The products ‘Richyaa Darner Lemon’ and ‘Licta Lemon’ to be supplied by the applicant are classifiable under CTH 22021020 and all others i.e. ‘Richyaa Darner Cola’, ‘Licta Cola’, ‘Richyaa Darner Jeera Soda’, ‘Licta Jeera Masala’, ‘Richyaa Darner Orange’ and ‘Licta Orange’ are classifiable as ‘Other’ under CTH 22021090.
FULL TEXT OF ORDER OF BEFORE THE AUTHORITY OF ADVANCE RULING, TAMIL NADU
At the outset, we would like to make it clear that the provisions of both the Central Goods and Service Tax Act and the Tamil Nadu Goods and Service Tax Act are the same except for certain provisions. Therefore, unless a mention is specifically made to such dissimilar provisions, a reference to the Central Goods and Service Tax Act would also mean a reference to the same provisions under the Tamil Nadu Goods and Service Tax Act.
The subject appeal has been filed under Section 100(1) of the Tamilnadu Goods & Services Tax Act 2017/Central Goods & Services Tax Act 2017 by M/s. Rich Diary Products (India) Pvt Ltd (hereinafter referred to as ‘Appellant’). The appellant is registered under GST vide GST1N 33AADCR3175K1ZA. The appeal is filed against the Order No. 41/AAR/2019 dated 23.09.2019 passed by the Tamilnadu State Authority for Advance ruling on the application for advance ruling filed by the appellant.
2. The appellant manufactures fruit juices and also carbonated fruit juices. They sought ruling on the question
‘Whether carbonated fruit juices falls under Fruit Juices or aerated drinks?’.
The contentions of the appellant are the drinks are fruit base drinks and Carbon-dioxide is used for preservation purpose. Fruit pulps are in semi liquid form and fruit juice are in liquid form without any addition of sugar or other additives. There is no difference in the usage of fruit pulp or fruit juices used for manufacture of carbonated fruit juices. They submitted copy of Hon’ble Supreme court judgment in classification of ‘APPY FIZZ’ in case of M/s Parle Agro Ltd Vs Commissioner of Commercial Taxes , Trivandrum in the VAT regime where the Hon’ble Supreme court ruled on the classification as per Kerala VAT notifications. They stated that fruit pulp or fruit juice based drinks should be classified under HSN 22029920 relying on the FSSAI regulations. They have claimed that Appy Fizz drink is being sold at 12 % GST and the same should be permitted for their drinks.
3. The Original Authorities has ruled as follows:
The products ‘Richyaa Darner Lemon’ and ‘Licta Lemon’ to be supplied by the applicant are classifiable under CTH 22021020 and all others i.e. ‘Richyaa Darner Cola’, ‘Licta Cola’, ‘Richyaa Darner Jeera Soda’, ‘Licta Jeera Masala’, ‘Richyaa Darner Orange’ and ‘Licta Orange’ are classifiable as ‘Other’ under CTH 22021090.
4. Aggrieved by the above decision, the Appellant has filed the present appeal. The grounds of appeal are as follows:
> Applying FSSAI Regulations, the products in question are classifiable under Tariff Item 22029920 as ‘Fruit Juice Based Drinks’- “Fruit juice based drinks are not defined in the Tariff Schedule.
