The Authority for Advance Ruling (AAR) held that 18% of Goods and Service Tax (GST) is applicable for Fried Fryums.
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. The applicant has filed an application seeking advance ruling under section 97 of the CGST Act, 2017 MPGST Act, 2017 and IGST Act, 2017.
The 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 that are ready to eat.
An Application was filed regarding Classification of Items manufactured i.e Papad and Papad Fryums by the concern in different shapes and sizes. And to know 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 manufactured.
The Authority comprising of Joint Commissioner Manoj Kumar Choubey and Joint Commissioner Virendra Kumar Jain on an application filed by M/s Alisha foods.
The Authority examined that Serial. No. 23 of Schedule III of issued under the CGST Act, 2017 and corresponding Notification No. 1/2017-State Tax (Rate) dated 30.06.2017, as amended, issued under the GGST Act, 2017 covers -Food preparations not elsewhere specified or included [other than roasted gram, sweetmeats, batters including idli/dosa batter, narnkeens, bhujia, mixture, chabena and similar edible preparations in ready for consumption form, khakhra, chutney powder, diabetic foods]” falling under Heading 2106.
The Authority further clarified that Goods and Service Tax (GST) rate of 18% (CGST 9% + GGST 9% or IGST 18%) is applicable to the product “Fried Fryums’ as per SI. No. 23 of Schedule III of Notification No. 1/2017 —Central Tax (Rate) dated 28.06.2017, as amended, issued under the COST Act, 2017 and Notification No. 1/2017-State Tax (Rate) dated 30.06.2017, as amended.
The bench ruled that the product ‘Fried Fryums’ manufactured and supplied by M/s. M/s ALISHA FOODS is classifiable under Tariff Item 2106 90 99 of the First Schedule to the Customs Tariff Act, 1975. Goods and Service Tax (GST) rate of 18% (COST 9% + GGST 9% or IGST 18%) is applicable to the product ‘Fried Fryums’.
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