Namkeen, Bhujia, PalakPanner – delicious exemptions?
Board proposes to issue a clarification regarding excise exemption to such tasty things like Namkeen, Bhujia, Palak Panneer etc, Sr. No. 29 and Sr. No.30 of the notification No. grant following exemptions:
S. No. | Chapter or heading or sub-heading or tariff item of the First Schedule | Description of excisable goods | Rate |
(1) | (2) | (3) | (4) |
29. | 2106 90 | Sweetmeats (known as ‘misthans’ or ‘mithai’ or by any other name), namkeens, bhujia, mixture, chabena and similar edible preparations in ready for consumption form, papad and jaljeera | Nil |
30. | 2106 90 99 | Ready to eat packaged food | 8% |
Now goods like namkeen, bhujia etc, can fall under both Sl. No. 29 and 30 of the above table. Then will they be exempted or should they pay 8%?
Board proposes to clarify that as the same items fall under two entries of the notification, the exemption of nil rate of duty would be available to goods covered by Sr. No. 29 of the notification, even when the said goods are also covered by Sr. No.30.
But the clarification is to come with a rider.
However, if the goods are ‘ready to eat packaged food’ falling under tariff item 2106 90 99 but which are not covered by the description provided at Sr. No. 29, then the effective rate of duty will be 8% as provided at Sr. No. 30. Examples of some of such items are ‘alu-mutter’, ‘palak-paneer’, etc., which are sold in packaged condition and are consumed directly after heating.
Now here, is the Board’s objection to heating? If I choose to eat Palak Panneer without heating, will it fall under Sl. No.29? Should I give a solemn declaration before buying the packet that for love, money or exemption, I will NOT heat the panneer?
If you want your panneer to be exempted, please write to the Board at dscx4cbec@yahoo.com before 10.11.2006
Board’s F.No.