Manish Pharmaceuticals Pvt. Vs. Ccex and Capsulation Services

Manish Pharmaceuticals Pvt. vs Ccex and Capsulation Services

Type Court Judgment Court Customs Excise and Service Tax Appellate Tribunal CESTAT Mumbai Decided Jul 17, 2006

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Citation: sooperkanoon.com/43132
Court: Customs Excise and Service Tax Appellate Tribunal CESTAT Mumbai
Judge: J Balasundaram, Vice-, S T Chittaranjan
Decided On: Jul 17, 2006
Subject: Service Tax

Case Summary

AI-generated summary - not the official court judgment text.

Service Tax

Key legal issue: Service Tax

Parties & Advocates

Appellant / Petitioner

Manish Pharmaceuticals Pvt.

Respondent

Ccex and Capsulation Services

Legal References

Reported In: (2006)(111)ECC63

Excerpt

.....are classifiable as medicaments under chapter 30and not as food supplements under chapter 21. (iii) micronova pharmaceuticals pvt. ltd. v. cce, bangalore - vitamin b complex tablets containing several ingredients satisfy the criteria of therapeutic or prophylactic use and are classifiable under sub-heading 3003.10 and not under chapter (iv) e. merck (india ) ltd. v. cce, mumbai - neurobinn forte tablets and injections are fixed dose combinations of vitamin b1, b6 and b12, which have therapeutic value and hence are classifiable as medicaments under sub-heading 3003.10 and not under chapter 29.3. following the ratio of the aforecited earlier decisions of the tribunal including a larger bench decision, we are of the opinion that all the impugned products including the product for which the department is in appeal, are required to be classified as medicaments under sub-hending 3003.10 in view of the fact that such products have been held to have prophylactic use and are marketed under 'brand' names with dosage indicated, and have also been produced under drugs licences obtained from the concerned drug control authorities. hence, we allow the appeals nos. e/3559, 2740, 2741 & 2742/2000 filed by the assessee appellants and dismiss the appeal no. e/2827/2000 filed by the applicant commissioner.(pronounced in court)

Full Judgment

Chittaranjan Satapathy, Member (T) 1. Heard both sides. Appeal No. E/3559/2000 has been filed by M/s Manish Pharmaceuticals Pvt. Ltd. Appeals No. E/2740 to 2742/2000 have been filed by M/s Capsulation Services Pvt. Ltd. and Appeal No.E/2827/2000 has been filed by the department against M/s Capsulation Services Pvt. Ltd. In all these appeals, the dispute relates to classification of the various impugned goods listed below. The assessees claim these goods to be classifiable under sub-heading 3003.10 as P or P medicaments, whereas it is the department's case that these goods should be classified as vitamins under Chapter 29. The compositions of the impugned goods in respect of these appeals are as follows: I. M/S MANISH PHARMACEUTICALS PVT. LTD. Sl.

Ferric Ammonium Citrate 20 mg Methyl Paraben 2000 Folic Acid BP 1.5 mg Disodium E.D.T.A. Sorbital solution BP 1.25 mg Sugar Sodium Saccharine Ascorbic Acid BP 250 mg Ethyl cellulose Starch Lactose Talcum Magnesium Stearate Sodium starch glycollate Ferric Ammonium Citrate BP 100mg Methyl Paraben Folic Acid BP 300 mg Propyl Paraben Vitamin BP BP lmg Vitamin B6BP 2mg Nicotinamide BP 1.5.mg Sorbital 70% solution Complex Vitamin B6BP lmg Cyanocobalamine BP lmg Methyl Paraben Miacinamide BP 5lmg Folic Acid BP 50mg Starch Powder Talcum Cyanocobalamine BP equivalent to Sodium Chloride Inj.

Anhydrous Cyanocobalamine lmg Sodium Acetate Glacial acetic acid Benzyl alcohol Propylene Glycol Starch Powder Gelatin Methyl Paraben Propyl Paraben Talcum Magnesium Stearate Dicalcium Phosphate Vitamin A acidated BP 250001.U.Lactose Ahar Elemental Iron BP 120mg Starch Folic Acid BP 0.8mg (anhydrous) Gelatin Methyl Paraben Propyl Paraben Talcum Magnesium Stearate Sodium starch glycollate Ahar II. M/S CAPSULATION SERVICES PVT. LTD. Sl.

1 Beta carotene with Vitamin C, E Each Softgelatin Capsule contains: & Minerals Beta carotene (30% dispersion) Selace Capsules Equivalent to Vitamin A, (for Therapeutic use Vitamin E IP Shelf life: 2 years) Vitamin C IP Copper (from Copper Sulphate) Manganese (from Manganese sulphate) Zinc (from Zinc sulphate) Selenium Seven Seas Vitamin A & D Each Softgelatin Capsule contains: Capsules Vitamin D3BP Excipients Generic Calcium Capsule Each Softgelatin Capsule contains: Ostebon 400 mg capsules Elemental Calcium Derived from calcium carbonate From organic source (Oyster Shell) Vitamin D3 Vitamin A&D capsules Each Softgelatin Capsule contains: Trade Name - Arocin Capsules Vitamin A USP (for Export) Excipients Each Softgelatin Capsule contains: OMEGA-3 FATTY acids with Tocopherol Acetal IP Vitamin E capsules Excipients FRS Vitamins &Minerals Each Softgelatin Capsule contains: Capsules Beta carotene (30% dispersion) (equivalent to Vitamin A) Vitamin E natural (equivalent to Vitamin E activity) Ascorbic acid IP (Vitamin C) Selenious acid USP (equivalent to 100 mcg of Selenium) Zinc Sulphate Monohydrate USP (equivalent to 7.5 mg of Zinc) Cupric Sulfate Excipients Evit 400 Mg. Capsules Each Softgelatin Capsule contains: Vitamin E IP Excipients Each Softgelatin Capsule contains: Multivitamin and Mineral Capsules 2. From the details of composition of the impugned goods provided by the assessee appellants, we find that all the products in question contain vitamins as well as other ingredients. These products are marketed under the brand name of the assessee appellants. We find that classification of similar products have been earlier considered by various decisions of the Tribunal cited by the learned Advocate for the assepsee appellants as follows: (i) Micropure Parenterals Pvt. Ltd. v. CCE, Mumbai-III - Fixed dose combinatiory of Vitamin B1, B2, B12 in injection as well as in tablet, form (branded) have, therapeutic or prophylactic use and the same are classifiable under sub-heading 3003.10 as medicaments and not. under Chapter 29.

(ii) Softsule Pvt. Ltd. v. CC & CE, Mumbai 2003 (154) ELT 238 (Tri-Mum) - "Vitamins", either single or in combination in capsule packed for retail consumption are classifiable as medicaments under Chapter 30and not as food supplements under Chapter 21.

(iii) Micronova Pharmaceuticals Pvt. Ltd. v. CCE, Bangalore - Vitamin B Complex Tablets containing several ingredients satisfy the criteria of therapeutic or prophylactic use and are classifiable under sub-heading 3003.10 and not under Chapter (iv) E. Merck (India ) Ltd. v. CCE, Mumbai - Neurobinn Forte Tablets and Injections are fixed dose combinations of Vitamin B1, B6 and B12, which have therapeutic value and hence are classifiable as medicaments under sub-heading 3003.10 and not under Chapter 29.

3. Following the ratio of the aforecited earlier decisions of the Tribunal including a Larger Bench decision, we are of the opinion that all the impugned products including the product for which the department is in appeal, are required to be classified as medicaments under sub-hending 3003.10 in view of the fact that such products have been held to have prophylactic use and are marketed under 'brand' names with dosage indicated, and have also been produced under drugs licences obtained from the concerned Drug Control authorities. Hence, we allow the appeals Nos. E/3559, 2740, 2741 & 2742/2000 filed by the assessee appellants and dismiss the appeal No. E/2827/2000 filed by the applicant Commissioner.

(Pronounced in Court)

Same Court & Year Customs Excise and Service Tax Appellate Tribunal CESTAT Mumb... Same Parties Manish Pharmaceuticals Pvt. vs Ccex and Capsulation Services Same Subject Service Tax Same Judge J Balasundaram, Vice-, S T Chittaranjan