Controversy:<\/h3>\n\n\n\n
The controversy of Nimbooz arose due to the dispute between Aaradhna Foods and Central Excise pertaining to the Excise duty to be imposed on the drink by a petition filed by Aaradhna Foods. It was put forward by the Excise Department that the drink should be categorized under the provisions 90\/20 of the Central Excise and Service Tax Hyderabad, that is CETH 2022 because it was claimed that the drink was made from real fruit pulp or juice. Whereas, it was argued by Aardhana Foods that Nimbooz is lemonade. Thus it must be categorized under the first schedule of the Central Excise Tariff Act 1985 under provision 10\/20 of CETH 2022.<\/a><\/p>\n\n\n\n The internet is not a lawyer and neither are you. Talk to a real lawyer about your legal issue<\/p>\n\n\n\n Even after the plea of Aaradhna Foods’ petition was accepted by the Excise Department from April to December 2013 however, later the Department stuck to its previous categorization of the drink. The contention put forward by the Department in favor of sticking to their earlier decision by citing similar other products where the Goods and Service Tax is levied accordingly. According to the current tax, aerated drinks attract a Goods & Service Tax of 28 percent plus a compensation cess of 12 percent whereas non-aerated drinks (including fruit juice-based drinks) largely attract a GST of 12 percent or some attract a GST of 18 percent<\/a>.\u00a0<\/p>\n\n\n\n As mentioned earlier, the petition filed by Aaradhna Foods to put the drink under the category of lemonade instead of fruit juice. Presently Nimbooz is categorized as fruit juice. However, the manufacturer intends to categorize the drink as lemonade. The present category was decided in November last year by the Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) of the Allahabad Bench. The classification of Nimbooz as a fruit juice was based on the decision of the Bench of justices Dilip Gupta and P Venkata Subba Rao bringing the drink under tariff Item 2202 90 20 of the Central Excise Tariff.\u00a0<\/a><\/p>\n\n\n\n A two-judge Bench was formed of Justice MR Shah and BV Nagarathna for hearing this case and giving closure to the case. The bench held that Nimbooz shall be categorized under CETH 10 20 instead of the previous tariff which is Tariff under 20220 90 20 Tariff Central Excise.<\/p>\n\n\n\n The decision of the Supreme Court in the categorization of Nimbooz is important as it will help in determining the excise duty of the drink.<\/p>\n\n\n\n This case of categorization has been trending and the judiciary has been mocked for looking into the matter. As you all know several serious matters are pending and need to be decided for justice to be delivered on time. Such contention put forward by companies must be dealt with by other competent authorities thereby disposing of the cases and saving time for judicial bodies such as the Supreme Court. Nonetheless, let\u2019s stay tuned for the interesting case to be decided by the Supreme, and shall you be having lemonade or fruit juice.<\/p>\n\n\n\nNeed A Legal Advice<\/strong><\/h3>\n\n\n\n
![\"\"](\"https:\/\/www.leadindia.law\/blog\/en\/wp-content\/uploads\/2022\/09\/talk-to-lawyer-black-logo.png\"){kind=logo}
<\/a><\/figure><\/div>\n\n\n\nPresent Status of Nimbooz:<\/h3>\n\n\n\n
Role of Supreme Court:<\/h3>\n\n\n\n
Conclusion:<\/h3>\n\n\n\n