Page 113 - GSTL_13th August 2020_Vol 39_Part 2

2020 ] IN RE : KALAGARLA SURYANARAYANA SON 199
The description in HSN is very helpful in deciding the classification
of the Product. The Hon’ble Supreme Court, in the case of “Wood
Crafts Products Ltd., 1995 (77) E.L.T. 23 (S.C.) has held that the
description in HSN Explanatory notes has persuasive value. The
Supreme Court has observed in para 12 as follows :
“We are of the view that the Tribunal as well as the High Court
fell into the error of Overlooking the fact that the structure of the Cen-
tral Excise Tariff is based on the internationally accepted nomenclature
found in the HSN and, therefore, any dispute relating to tariff classifi-
cation must, as far as possible, be resolved with reference to the no-
menclature indicated by the HSN unless there be an express different
intentions indicated by the Central Excise Tariff Act, 1985 itself. The
definition of a term in the ISI Glossary, which has different purpose,
cannot, in case of conflict, override the clear indicatory of the meaning
of an identical expression in the same context in the HSN……..”
(3) Tamarind Tree is a forest Tree :
(i) Indian Forest Act, 1927 defines ‘Forest Produce’ as under :
Section 2(4) of Indian Forest Act, 1927 : Forest produce includes.
“(a) The following whether found in, or brought from, a for-
est or not, that is to say timber, charcoal, caoutchouc, cat-
echu, wood oil, resin, natural varnish, bark, lac, mahua
flowers, Mahua seeds, 3 (Kuth) and myrabolams, and
(b) The following when found in, or brought from forest,
that is to say.
(i) Trees and leaves, flowers and fruits, and all other
parts or produce not herein before mentioned, of
trees,
(ii) Plants not being trees (including grass, creepers,
reeds and moss) and all parts or produce of such
plants.
(iii) Wild animals and skins, tusks, horns, bones, silk,
cocoons, honey, and wax, and all other parts or
produce of animals, and,
(iv) Peat, surface Oil, rock and minerals, (including
limestone laterite, mineral oils, and all products
of mines and quarries.
(c) Such other produce as may be prescribed.”
The applicant claims that as per the above definition, the
trees, Plants, leaves, fruits, seeds ……… etc., whether found-
ing, or brought from a forest are treated as forest produce.
(ii) The Government of India declared forest products which are
obtainable form forests. Timber is main product of forests.
Apart from timber, we are getting so many produces from
forest. These are recognized as minor products. Those are
grouped in nine categories.
(1) Grasses, Bamboos and canes
(2) Tans and Dyes
(3) Oil
GST LAW TIMES  13th August 2020  113