TaxTMI 
TaxTMI 
2020 (8) TMI 102
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....th the CGST Act and the TGST Act are the same except for certain provisions. Therefore, unless a mention is specifically made to any dissimilar provisions, a reference to the CGST Act would also mean a reference to the same provision under the TGST Act. Further,to the earlier, henceforth for the purposes of this Advance Ruling, the expression 'GST Act' would be a common reference to both CGST Act and TGST Act. 3. It is observed that the queries raised by the applicant fall within the ambit of Section 97 of the GST ACT. The Applicant enclosed copies of challans as proof of payment of Rs. 5,000/- for SGSTand Rs. 5000/- for CGST towards the fee for Advance Ruling. The Applicant has declared that the questions raised in the application have neither been decided by nor are pending before any authority under any provisions of the GST Act. The application is therefore, admitted. 4. Brief facts of the case: The facts, in brief, that were reported by the tax payer in their application are as follows: a. M/s Sushi Pet Nutriscience, is a partnership firm which is engaged in manufacturing/rendering of 'Poultry Meal' and 'Poultry Fat'; b. Both these products are used ....
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....riginal material and a new product emerged in powder form. f. In r/o "poultry meal" their major customers are aqua/poultry/animal feed manufacturers viz., a. M/s Mars International India Private Limited. b. M/s NG Feeds Private Limited. c. M/s ABIS Exports India Private Limited. d. M/s Kwality Feeds Limited. g. For poultry fat, the major customers are: a. M/s Bharath Luxindo Agri Feeds Private Limited b. M/s ABIS Exports India Private Limited c. M/s Anmol Feeds Private Limited d. M/s NG Feeds Private Limited 5. Questions raised: With the above background, the applicant sought for ruling with regard to the HSN codes and the rate of tax in respect of "poultry meal" and "poultry fat" supplied by their unit. 6. Contention of the tax payer: It was statedby the applicant that they are classifying the "poultry meal" under HSN Code 2309 9020 and supplying the same charging'nil' rate of tax.Further, it was stated that they areclassifying the by-product "poultry fat" under HSN code of 1501 9000 and supplying the same charging tax at the rate of 12%( 6% CGST + 6% SGST/UTGST). In support of th....
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....s that contain high density of nutrients, usually low in crude fiber content (less than 18% of dry matter) and high in total digestible nutrients. Roughages are feeds with low density of nutrients with crude fiber content over 18% of dry matter including most fresh and dried for ages and fodders Concentrates maybe high in energy referred as to energy concentrates such as cereals and milling by products, or high in protein, with over 20% crude protein referred to as protein concentrates. Concentrates may be fed in raw or milled forms as individual feeds (sometimes referred to as straights) or maybe blended or formulated into balance ratios for particular production purposes 7. Personal Hearing: The Authorised representative of the unit namely Sri. G. Subramanyam Setty, Chartered Accountant attended the personal hearing held on 20.02.2020.He reiterated the facts mentioned above and sought for clarifications in respect of the queries raised in their application. 8. Discussion & Findings: 8.1. We have carefully gone through the submissions made by the applicant in their application for advance ruling as well as at the time of personal hearing. The applicant sought for ad....
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....st schedule to the Customs Tariff Act, 1975 lays down that Heading No.2309 includes products of a kind used in animal feeding, not elsewhere specified or included, obtained by processing vegetable or animal materials to such an extent that they have lost the essential characteristics of the original material, other than vegetable waste, vegetable residues and by-products of such processing. Taking into consideration and the description of the goods listed in chapter heading No. 2309, it can be concluded that the said chapter heading covers animal feeds which are used for feeding the animals. In the case on hand, the applicant categorically stated in their application that the product 'poultry meal' manufactured by them would be used for further manufacture of 'animal feed'. Thus the product manufactured by the applicant evidently used as raw material/ input in the manufacture of animal feed. In this view of the matter we hold that the product manufactured is not animal feed, but a raw material for 'animal feed'. There is distinction between the product 'animal feed' and raw material for animal feed. This view finds support by the decision of the Larger Bench of the Hon'ble Supreme ....
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....product manufactured by the applicant is not a feed but raw materials for feed and therefore the same are not covered under the domain of the above entry. Consequently we hold that the product manufactured by the applicant is not exempted from tax as opined by the applicant. This view is fortified by the CBIC Circular bearing No. 80/54/2018-GST, dated 31-12-2018. 8.7. We find that the disputed product (classifiable under chapter sub-heading number 2301.10.90) attracts GST rate of 5% (2.5 % CGST + 2.5% SGST) under sl. No. 103 of the Schedule-1 of the Not. No. 01/2017-CT (R), dated 28.06.2017 (as amended). 8.8. As regards 'poultry fat', it is noticed that the said product emanates as a by-product during the process of chicken remnants for manufacture of the primary product viz., 'poultry meal'. It is noticed that Schedule to the Customs Tariff has two entries covering the said product. These are as follows: Tariff Item Description of goods 0209 Pig fat, freeofleanmeatandpoultryfat,notrenderedorotherwiseextracted,fresh, chilled, frozen, salted, inbrine, dried or smoked 0209 10 00 Of pigs 0209 90 00 Other : 1501 Pig fats (including lard) and poultry ....