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2006 (8) TMI 304 - SC - VAT and Sales TaxWhether coal briquettes are as same as coal and hence no liability of tax can be fastened on the sale of coal briquettes? Held that:- Appeal dismissed. The process as mentioned here is clearly processing, treating or adapting the coal. Hence, it is a "manufacture". Appellant's submission that coal briquettes are produced merely by using a binding material such as clay or molasses along with the coal, and hence the identity does not change cannot agreed as the coal briquettes are the same commercial commodity as coal. The appellant manufactures coal briquettes by compiling the hard coke breeze mechanically with the help of cinders which is usually 5 per cent of the total hard coke breeze. In the compilation of the hard coke breeze, 95 per cent of the hard coke breeze, which is known as coal-dust or breeze coke is taken which is compiled with the help of clay and molasses. Hence, coal briquettes is a different commercial commodity from coal. Moreover, even if it is not a different commercial commodity, the process of making coal briquettes will amount to a "manufacture" as it is processing, treating or adapting coal.
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