Supreme Court Upholds Classification of "Precipitated Calcium Carbonate"

The Supreme Court upheld the classification of "Precipitated Calcium Carbonate" under Heading 2836.90 instead of Heading 2505.90, as determined by the Customs Excise & Service Tax Appellate Tribunal. The appellant's argument regarding the manufacturing process difference was not considered as the chemical composition of both products was found to be the same. The Court dismissed the appeal, citing lack of merit and upholding the Tribunal's decision based on a previous judgment without imposing costs.

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Issues: Classification of "Precipitated Calcium Carbonate" under Heading 2836.90 or Heading 2505.90

In this case, the Supreme Court heard an appeal under Section 35-L(b) of the Central Excise Act, 1944 regarding the classification of "Precipitated Calcium Carbonate." The Customs Excise & Service Tax Appellate Tribunal had classified the product under Heading 2836.90 instead of Heading 2505.90 as claimed by the assessee. The Tribunal's decision was based on a previous judgment of the Supreme Court in the case of Gulshan Sugar and Chemical Works.

The appellant argued that the Tribunal erred in relying on the previous judgment as the process for manufacturing their product, "Precipitated Chalk," was different from "Precipitated Calcium Carbonate." However, it was acknowledged that the chemical composition of both products was the same. The Supreme Court noted that the appellant did not raise this argument before the Tribunal or in the current appeal. The Court, in agreement with its previous decision, found no fault with the Tribunal's order and dismissed the appeal for lacking merit, without any costs imposed.

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