{"id":7669,"date":"2026-01-19T17:50:54","date_gmt":"2026-01-19T12:20:54","guid":{"rendered":"https:\/\/www.centaxonline.com\/blog\/?p=7669"},"modified":"2026-01-19T17:50:54","modified_gmt":"2026-01-19T12:20:54","slug":"chocolate-coated-wafers-eligible-for-concessional-duty-sc","status":"publish","type":"post","link":"https:\/\/www.centaxonline.com\/blog\/chocolate-coated-wafers-eligible-for-concessional-duty-sc","title":{"rendered":"Chocolate-Coated Wafers Eligible For Concessional Duty | SC"},"content":{"rendered":"<pre><strong>Case Details: <a href=\"https:\/\/www.centaxonline.com\/latest-news-updates\/excise-service-tax\/101010000000413810\/wafers-coatedsandwiched-with-chocolate-sugaroil-milk-flour-agents-etcentitled-to-concessional-rate-of-duty-sc\"><span class=\"TextRun SCXW24717887 BCX0\" lang=\"EN-IN\" xml:lang=\"EN-IN\" data-contrast=\"none\"><span class=\"NormalTextRun SCXW24717887 BCX0\">Commissioner CGST and Central Excise, Bhopal vs.\u00a0<\/span><span class=\"NormalTextRun SCXW24717887 BCX0\">Mondelez<\/span><span class=\"NormalTextRun SCXW24717887 BCX0\">\u00a0India Foods\u00a0<\/span><span class=\"NormalTextRun SpellingErrorV2Themed SCXW24717887 BCX0\">Pvt.<\/span><span class=\"NormalTextRun SCXW24717887 BCX0\">\u00a0Ltd. (2025) 37\u00a0<\/span><span class=\"NormalTextRun SpellingErrorV2Themed SCXW24717887 BCX0\">Centax<\/span><span class=\"NormalTextRun SCXW24717887 BCX0\">\u00a0130 (S.C.)<\/span><\/span><span class=\"EOP SCXW24717887 BCX0\" data-ccp-props=\"{&quot;201341983&quot;:1,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559739&quot;:0,&quot;335559740&quot;:280}\">\u00a0<\/span><\/a><\/strong><\/pre>\n<h2><em>Judiciary and Counsel Details<\/em><\/h2>\n<ul>\n<li><strong><span id=\"111170000000114774\">Pamidighantam Sri Narasimha<\/span><\/strong> &amp;\u00a0<strong>Atul<span id=\"111170000000166454\">\u00a0S. Chandurkar<\/span><\/strong>, JJ.<\/li>\n<li><strong>S\/Shri N. Venkataraman<\/strong>, A.S.G., <strong>Ms. Snehashih Mukharjee<\/strong>, <strong>V.C. Bharathi, Udai Khanna, Gaurav Arya, Prashant Singh II,<\/strong> Advocates &amp; <strong>Gurmeet Singh Makker<\/strong>, AOR, for the Petitioner.<\/li>\n<li>S\/<strong>Shri V. Lakshmikumaran, Dhruv Tiwari, Ms. Mahak Mehra, Ms. Neha Choudhary, Ms. Medha Sinha, Ayush Agarwal, Ms. Nitum Jain, Swastik Mishra, Ms. Mehak Mehra,<\/strong> Advocates &amp; <strong>Ms. Charanya Lakshmikumaran,<\/strong> AOR, for the Respondent.<\/li>\n<\/ul>\n<h2><em>Facts of the Case<\/em><\/h2>\n<p>The assessee manufactured and cleared wafer products sold under brand names such as Perk, Ultra Perk, Perk Poppers and Wafer Uncoated Rejects. These products consisted of layered wafers coated or sandwiched with chocolate and blended with ingredients like sugar, edible and hydrogenated vegetable oil, milk solids, wheat flour, cocoa solids\/butter, nuts, starch, salt and raising agents. The Department classified these goods under Central Excise Tariff Item 1905 32 11 on the ground that they were wafers containing chocolate and treated them as communion wafers, thereby denying concessional duty. The assessee claimed classification under Tariff Item 1905 32 90, contending that the goods were ordinary commercial snack wafers unrelated to communion wafers and eligible for exemption. The CESTAT accepted the assessee\u2019s classification and allowed the concessional rate. During the Tribunal proceedings, the Revenue also attempted to raise new grounds which were not part of the show cause notice or adjudication order and without filing a cross-appeal. Aggrieved by the Tribunal\u2019s order, the Revenue filed an appeal before the Supreme Court.<\/p>\n<h2><em>High Court Held<\/em><\/h2>\n<p>The Supreme Court has held that wafers coated or sandwiched with chocolate, sugar, oil, milk, flour, agents, etc. are entitled to concessional rate of duty. The said products neither have characteristics of &#8216;communion wafers&#8217; nor used in Eucharist ceremonies. Therefore, they are classifiable under Tariff Item 1905 32 90 and entitled to concessional rate of duty under said notifications.<\/p>\n<h2><em>List of Cases Reviewed<\/em><\/h2>\n<ul>\n<li><a href=\"https:\/\/www.centaxonline.com\/latest-news-updates\/excise-service-tax\/101010000000413810\/wafers-coatedsandwiched-with-chocolate-sugaroil-milk-flour-agents-etcentitled-to-concessional-rate-of-duty-sc\">Mondelez India Foods Pvt. Ltd. v. Commissioner<\/a> \u2014 (2025) 32 Centax 348 (Tri.-Del) \u2014 Affirmed [Para 2]<\/li>\n<\/ul>\n","protected":false},"excerpt":{"rendered":"<p>Case Details: Commissioner CGST and Central Excise, Bhopal vs.\u00a0Mondelez\u00a0India Foods\u00a0Pvt.\u00a0Ltd. (2025) 37\u00a0Centax\u00a0130&hellip;<\/p>\n","protected":false},"author":16,"featured_media":7676,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[49,51,63],"tags":[],"class_list":["post-7669","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-excise-service-tax","category-news-excise-service-tax","category-est-case-chronicles"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v25.9 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Chocolate-Coated Wafers Eligible For Concessional Duty | SC<\/title>\n<meta name=\"description\" content=\"Supreme Court holds that wafers coated or sandwiched with chocolate, sugar, oil, milk, flour and agents qualify for concessional rate of duty.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" 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