TaxTMI 
TaxTMI 
2020 (1) TMI 977
X X X X Extracts X X X X
X X X X Extracts X X X X
....ng, a reference to such a similar provision under the CGST or MP GST Act would be mentioned as being under the GST Act. 3. BRIEF FACTS OF THE CASE: 3.1. The Applicant is a partnership firm having two Partners engaged in the manufacturing business of Papad (Fryums), Namkeens and Popcorn under the brand name of Target School Times. 3.2 Applicant has filed an application seeking advance ruling under section 97 of CGST Act, 2017 MPGST Act, 2017 and IGST Act, 2017 for correct classification of Papad and Papad Fryums of different shapes, sizes and varieties (commonly known as Fried Fryums) manufactured by Applicant and sold. The Applicant manufactures Fried Fryums of different shapes, sizes and varieties which are ready to eat. 3.3 An Application was filed regarding Classification of Items manufactured i.e Papad and Papad Fryums by the concern in different shapes and size. But at the time of hearing the applicant reframed the question and clearly stated that the Question for Advance Ruling is "What is the correct classification of Fried Fryums of different shapes, sizes and varieties which are ready to eat and What is the HSN Code and GST rate applicable on such goods manufacture....
X X X X Extracts X X X X
X X X X Extracts X X X X
.... The product which is manufactured by the concern is sold in Madhya Pradesh as well as outside Madhya Pradesh. Various States are covered 1. Uttar Pradesh State are Jhansi, Lalitpur, Orai, Auriya, Rabrtsganj, Kanpur 2. Rajasthan: Kota, Baran, Ramganjmandi, Bhawani Mandi, Eklera, Khanpur, Jhalawad 3. Madhya Pradesh : Around 130 Cities Applicant is of the opinion that "Papad and papad pipes of different shapes, size of all varieties (commonly known as Fried Fryums) would be classified as under: Chapter 19 Heading No. 1905 - Bread, pastry, cakes, biscuits and other bakers" wares, whether or not containing cocoa; communion wafers, empty cachets of kind suitable for pharmaceutical use, sealing wafers, rice paper and similar products Sub-heading No. 1905 90 40 - Papad Sub-heading No. 1905 90 90 - Others. Papad even after roasting or frying are known and used as Papad only. Therefore, in commercial or trade parlance also, the Fryums can be said to be known as Papad. It is humbly submitted that Fried Papad and Fried Papad Pipes of different sizes, shapes, and all of varieties which are ready to eat may kindly be classified under the head 19059040 which is the code of P....
X X X X Extracts X X X X
X X X X Extracts X X X X
....fication No. 1/2017-Central Tax (Rate) dated 28.()6.2017 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." 7.5 Now the question arises what is "Papad". "Papad" as such has not been defined or clarified under Customs Tariff Act, 1975, GST Act or the Notifications issued under the CGST Act, 2017 / MGGST Act, 2017 7.6 It is now well settled principle of interpretation of statue that the word not defined in the statute must be construed in its popular sense, meaning , -that sense which people conversant with the subject matter with which the statue is dealing would attribute to it". It is to be construed as understood in common la....
X X X X Extracts X X X X
X X X X Extracts X X X X
....tor has interpreted the word "such as" to mean namkeen should be of a kind of Bhujiya and Chabena. Although it is not in dispute that the item in question is a namkeen. As can be seen from the various items given in Sl.No. 8 namely Papad, Idli-mix, Vada-mix, Dosa-mix, Jalebi-mix, Gulabjamun-mix are all of a type which cannot be eaten straightaway but it requires to befried. Chabena also comes in a type Q/ item which requires to be chewed like Potato chips or fried Channa Masala or various types of fried masala dals. There can be any number of examples of namkeens in the form of Chabena which are mostly taken as a side dish. It can also be preferred to be eaten after sweetmeat. The item in question being like a Chabena is also a namkeen. The learned Collector's placing restriction that it is to be eaten only after frying and therefore, is not covered under the notification is a very strict way of reading a notification. The notification cannot be read in a way as to whittle down its expression or to make the notification otios. The words "such as" is only illustrative and not exhaustive. So long as the item satisfies the term Namkeen, the benefit of notification cannot be denied ....
X X X X Extracts X X X X
X X X X Extracts X X X X
....r called by any other name. They also include products commonly as "Namkeens", "Mixtures", "Bhujia", "Chabena" or called by any other name. Such products remain classified in these sub-headings irrespective of the nature of their ingredients. 7.12 Thus, Heading 2106 is an omnibus heading covering all kind of edible preparations, not elsewhere specified or included. Chapter Note 5 provides an inclusive definition of this heading and covers preparations for use either directly or after processing, for human consumption. In 5(b) above preparation for use after processing has been included and mentioned therein such as cooking, dissolving or boiling in water, milk or other liquids. Obviously, the term 'such as' is purely illustrative but not exhaustive and therefore processing includes frying also, hence fried goods are also covered under chapter head 2106 which is ready for human consumption. Further, Chapter Note 6 pertaining to Tariff Item 2106 90 99 also provides inclusive definition and products mentioned therein are illustrative only. 7.13 Taking all these aspects into consideration, it is held that the product 'Fried Fryums' is appropriately classifiable under Tariff....