Page 109 - GSTL_14th May 2020_Vol 36_Part 2

2020 ] GUJARAT CO-OP. MILK MARKETING FEDERATION LTD. v. UNION OF INDIA 211
“7. ... A party claiming exemption has to prove that he/it is eligible for
exemption contained in the notification. An exemption notification has to
be strictly construed. The conditions for taking benefit under the notifica-
tion are also to be strictly interpreted. When the wordings of notification is
clear, then the plain language of the notification must be given effect to. By
way of an interpretation or construction, the Court cannot add or substitute
any word while construing the notification either to grant or deny exemp-
tion. The Courts are also not expected to stretch the words of notification or
add or subtract words in order to grant or deny the benefit of exemption
notification. In Bombay Chemicals (P) Ltd. v. CCE - (1995) Supp (2) SCC 646, a
three Judge Bench of this Court held that an exemption notification should
be construed strictly, but once an article is found to satisfy the test by which
it falls in the notification, then it cannot be excluded from it by construing
such notification narrowly”.
19. Therefore, the clause 2(e) of the Notification No. 41/2007-S.T. must
be applied strictly, and the Appellant cannot selectively seek relief of the said
notification. The CESTAT has passed a laconic, well-reasoned and thorough or-
der upholding the order of the Commissioner (Appeals), which merits absolutely
no interference by us.
20. Therefore, the question of law raised in this appeal is answered
against the Appellant and in favour of the Respondent and this appeal is hereby
dismissed.

_______

2020 (36) G.S.T.L. 211 (Guj.)
IN THE HIGH COURT OF GUJARAT AT AHMEDABAD

Harsha Devani and Sangeeta K. Vishen, JJ.
GUJARAT CO-OP. MILK MARKETING FEDERATION LTD.
Versus
UNION OF INDIA
R/Special Civil Application No. 8320 of 2019, decided on 13-12-2019
Milk, raw milk - Chilling and packing thereof for storing - Exemption
from GST admissible - C.B.I. & C Instruction F. No. 354/292/2018-TRU, dated 9-
8-2018 holding otherwise quashed - Under impugned circular petitioners Co-
operative milk dairies and a federation thereof for marketing of milk, were
informed that services of chilling and packing of milk supplied by third par-
ties is not exempt under support services for agricultural produce but leviable
to 5% GST as job work - HELD : Undisputedly aforesaid services are in respect
of raw milk procured from agriculturists on which no process is carried out so
as to change its essential character - Thus, said item is clearly covered as agri-
cultural produce in terms of Note 4 to Notification No. 11/2017-C.T. (Rate) as
amended - As regards exemption under this notification to support services
relating, inter alia, to animal husbandry in terms of explanation to SAC 9986,
same is being denied under impugned circular on basis of sub-clause (c) of
clause (i) of explanation ibid on the ground that process of chilling and pack-
GST LAW TIMES  14th May 2020  109