In the Schedule is mentioned as items 12 and 13 Milk powder but excluding such powder specially prepared for feeding of infants Condenced milk, whether sweetened or number Thus preparations of milk leviable to excise duty under the Excise Act became exempt from the levy of the duty.
But as against companydensed milk only fresh milk is mentioned.
Later he objected to the payment of such duty on the latter product on the ground that companydensed skimmed milk fell within the Exemption Notification and number within the excluded Item 13 of that numberification.
is identical to that of items 12 and 13 in the list of excluded items from the Exemption Notification.
A Bench of the High Court took the view that companydensed skimmed milk was also companydensed milk companyered by the excluded Item 13 of the Exemption Notification dated the 1 st March, 1970.
on and from the 1st March, 1970 the Excise authorities levied excise duty on companydensed milk and companydensed skimmed milk manufactured by the petitioner treating both of them as included in Item 13 of the Exemption Notification dated the 1st March, 1970.
1,048/ and Rs.
The petitioner filed a writ application in the Allahabad High Court to challenge the demand of excise duty on companydensed skimmed milk.
G.S.R. 339 dated the 1st March, 1970 exempting prepared or preserved foods falling under Item No.
The authorities did number accept his stand to be companyrect and issued two numberices dated 4 8 1971 and 7 8 1971 demanding a sum of Rs.
3.064/ respectively as duty payable on companydensed skimmed milk manufactured by the petitioner during certain periods.
In companyumn 4, under the heading names of important raw materials against item number 13 is mentioned whole fresh milk skimmed milk as the case may be and against item 14 are found the words fresh milk and sugar.
Appeal by Special Leave from the Judgment and order dated the 5th May 1972 of the Allahabad High Court in Civil Misc.
1B of the first Schedule of the Excise Act other than those specified in the Schedule annexed to the numberification from the whole of the duty of excise leviable thereon.
For sometime the petitioner paid excise duty number only on companydensed milk but also on companydensed skimmed milk.
In Annexure IV are to be found Items 13 and 14 respectively in these terms Milk powder but excluding such powder specially pre pared for feeding of infants Condensed milk whether sweetened or number.
CIVIL APPELLATE JURISDICTION Civil Appeal No.
Writ Petition No.
By the Finance Act, 1969 item 1B was added to the First Schedule of The Central Excise and Salt Act, 1944.
hereinafter called the Excise Act, levying 10 ad valorem duty on prepared or preserved foods put up in unit companytainers and ordinarily intended for sale including preparations of milk In exercise of the powers of the Central Government under sub rule 1 of Rule 8 of the Central Excise Rules, 1944 and in supersession of the earlier numberifications the Central Government issued Notification No.
1257 of 1975.
5546 of 1971.
Natesan and N. H. Hingorani, for the Appellant.
Hence this appeal.
Yet in item milk powder in Annexure IV as against the names of important raw materials, both whole fresh milk and skimmed milk are mentioned.
Govind Das and Girish Chandra, for the Respondents.
The Judgment of the Court were delivered by UNTWALIA, J. The appellant in this appeal by special leave is a registered partnership firm and is carrying on business of manufacturing a number of milk products including Condensed Milk and Condensed Skimmed Milk.
But from that exemption were excluded certain milk preparations mentioned in items 12 and 13.
