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1996 (12) TMI 328 - SC - VAT and Sales TaxWhether the exemption notification must be read as a whole & therefore, if find the exemption notification to be violative of article 304(a) the entire exemption notification will have to be struck down and not just a portion of it which is discriminatory as contended by the appellants. Held that:- Appeal allowed. In the present case the exemption notification as it originally stood exempted all re-rolled finished products sold in the State of Andhra Pradesh from tax provided tax had been paid in the State of Andhra Pradesh on the raw material. This exemption is still available to re-rolled products which are manufactured within the State. No exception can be taken to this part of the notification. Only the portion of exemption notification which discriminates against goods manufactured outside the State violates the provisions of article 304(a). In fact the words denying this exemption to goods manufactured outside the State were expressly and specifically added to the original exemption notification by the amending G.O. Ms. No. 1373 of 28th August, 1981. It is this amendment alone, which is clearly severable, that offends article 304(a). It can, therefore, be struck down. The subsequent notification of 20th March, 1984 proceeds on the same basis. There is no need, therefore, to strike down the entire tax exemption which is granted to all re-rolled steel products sold in the State of Andhra Pradesh and manufactured out of tax-paid raw material purchased in the State of Andhra Pradesh. The discriminatory provision is clearly severable and can be struck down.
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