Customs, Excise and Service Tax Appellate Tribunal (CESTAT) - Chennai Bench

The Customs, Excise and Service Tax Appellate Tribunal (CESTAT) is a key judicial body in India that specializes in resolving disputes related to customs, excise, and service tax. One of its important benches is located in Chennai, a major city in the southern part of India.

Judicial Ruling on Processed Milk

On September 18, 2026, the Chennai Bench of CESTAT delivered a noteworthy ruling concerning the classification of processed milk used in the confectionery industry. The tribunal decided that processed milk, when used within confectionery manufacturing, does not qualify as an 'exempted final product' according to Rule 6 of the CENVAT Credit Rules, 2004. This ruling has implications for the tax treatment of processed milk in such applications, affecting how businesses in the confectionery sector calculate and manage their tax liabilities.

This decision underscores the tribunal's role in interpreting tax rules and its impact on various industries, including dairy and confectionery sectors.