Case Law Details
In re Jay Jalaram Enterprises (GST AAR Gujarat)
The product namely ‘[J.J.’s] POP CORN’, manufactured from raw corn/maize grains, which, by heating turn into puffed corns/popcorns and then to make it palatable other ingredients like salt and turmeric powder along with oil are added to it fits the description as ‘Prepared foods obtained by the roasting of cereal’. This description attracts classification under Chapter Sub-Heading 1904 10 of the First Schedule to the Customs Tariff Act, 1975. Since it is not Corn flakes (tariff item 1904 10 10), Paws, Mudi and the like (tariff item 1904 10 20) or Bulgur wheat (tariff item 1904 10 30), it will fall under the residual tariff item 1904 10 90 of the First Schedule to the Customs Tariff Act, 1975. By virtue of 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.
FULL TEXT OF ORDER OF AUTHORITY OF ADVANCE RULING, GUJARAT
BRIEF FACTS
The applicant has submitted that they are a proprietorship concern and manufacture Pop Corn, which is sold in a sealed plastic bag bearing a registered brand name as [J.J.’s] POPCORN, under the Trade Marks Act, 1999. They submitted that their product is manufactured by using corn/maize grains. The Raw corn – grains are heated in an electric machine/oven @ 180/200 degree temperature and due to the heat so given to the grains, they turn into puffed corns/popcorns which are known in Gujarati language as “dhani” which is similar to that of puffed rice/ known as murmura. Then after they are sieved so as to remove some grains which are left unpuffed. During the process Salt, Edible Oil and Turmeric Powder are mixed in required quantity. Thereafter the product is packed in a plastic pouch in quantity of 15 gm. The applicant also submitted a Tax Invoice issued by them, bearing No. GT/411 Dt. 24-02-2018 for gross value of Rs.3920/- (Incl. tax CGST @2.5% and SGST @2.5%, collected separately) for supply of goods namely ‘POPCORN’ and raised the following question for advance ruling in their application:-
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