BAIDYANATH AYURVED BHAWAN (P) LTD.JHANSI vs EXCISE COMMISSIONER, U.P. & ORS.

The Supreme Court held that under the Medicinal and Toilet Preparations (Excise Duties) Act, 1955, specifically Section 4 and Item 1 of the Schedule, medicinal preparations containing alcohol are subject to excise duty. The Court clarified that the presence of alcohol, whether directly added or as a component of tinctures, qualifies the preparation for duty. The ruling emphasized that the legislative intent allows for multi-point taxation on such preparations, and the rebate under Section 4 applies only to specific goods, affirming the duty's imposition on the appellant's products.