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2016 (7) TMI 1306 - HC - VAT and Sales TaxInput tax credit - Whether the Tribunal has rightly held that, coal used in the manufacture of sponge iron is raw material and therefore, input tax credit cannot be reduced by applying Section 11(3)(b)(iii) of the GVAT Act, 2003? - Held that: - the issue is squarely covered by the decision in the case of The Addl. Commissioner of Sales Tax, VAT-I, Mumbai, Versus M/s. Gupta Metallics & Power Ltd., [2012 (8) TMI 818 - BOMBAY HIGH COURT], where it was held that the coal used in the process of manufacturing of sponge iron is used as a raw material and not as a fuel. The assessing officer as well as the appellate authority misread the text of the report and the Tribunal has rightly held that the coal used by the dealer was a raw material and not used as a fuel and allowed it to set off the entire tax paid on the purchase of coal - appeal dismissed - decided in favor of assessee.
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