TaxTMI 
TaxTMI 
2006 (8) TMI 404
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....agar of DDIL under Rule 209A of the Central Excise Rules. 2. The brief facts of the case are that the applicant is engaged in the manufacture of various fruit juice; fruit juice based drink under the brand name of Tropicana, Lehar Slice & Britania respectively. Fruit juices and fruit juice based drinks are classified by it under the sub-headings 2001.10 and 2202.40. These beverages are being manufactured by M/s. DDIL for M/s. Tropicana Beverages on whose specification, these juices are being manufactured. The applicant procured concentrated juice of known brix value both locally and through import. The brix value of such concentrated juice connotes the extent of water removed or the solid content in the fruit juices. They take such ....
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.... 29-6-1999 and 1-3-2000 classifying the juice under Chapter Heading 2001.10 chargeable to duty of Central Excise at the rate of 8% + 16% which also were approved. 4. On 1-3-2001 Notification No. 3/2001 was issued by the Central Government whereby products under sub-heading 2001.10 were exempted from payment of duty. The applicant again filed classification list claiming this exemption which was duly approved. They were however issued a show cause notice on 31-3-2005 stating that Tropicana brand fruit juice manufactured and cleared by the applicant during the period 1-3-2001 to 31-3-2004 were classifiable under Heading 2202.99 of Central Excise Tariff and proposed to demand duty of Rs. 9,99,01,650.00. This was followed by another sho....
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.... show that the brix value of the concentrate received by them is indicated in the certificate accompanying the sale invoices and that the brix value of the reconstituted juice is as per specification given by Tropicana and these specifications are as per the standards prescribed in codex for each variety of juice, Codex is international standard which prescribes brix value of fresh fruit juice intended for human consumption and therefore it is incorrect to say that the water being added by the applicant is more than what is contained in the natural juices. 6. In the alternate it was submitted that even if fresh fruit juices are held classifiable under Chapter Heading 2202.40 relating to fruit juice based drink, the same is also exem....
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....s been declared as juice concentrate and therefore there has been no suppression or mis-declaration and in view of the same the demand covered by the first show cause notice amounting to Rs. 9,99,01,650/- is time barred. 8. The learned D.R. however submits that as per the HSN notes, reconstituted juices should be products obtained by addition to the concentrate juice of a quantity of water not exceeding that is contained in similar non-concentrated juices of normal composition. In the present case when the brix value of the original juice from which the concentrate was made is not known to the assessee, it is impossible for him to add the same quantity of water as is contained in similar fruit juice of natural composition and theref....