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2013 (5) TMI 756 - DELHI HIGH COURTRate of tax applied to Paraffin wax manufactured and sold by appellant - 4% or 20% - Additional demand and penalties imposed - Delhi Value Added Tax Act, 2004 - Held that:- Paraffin wax manufactured and sold by the appellant is of a standard other than the Food Grade Standard. Therefore, prima-faice, the Paraffin wax manufactured and sold by the appellant would fall under Entry No. 120 of the Third Schedule. Since Entry No. 120 of the Third Schedule is a specific Entry and Entry No. 1(ix) of the Fourth Schedule is a general Entry, it is the former Entry which would cover the case of the appellant and therefore, the rate of tax would be 4%. This case is when there is a divergence of views with regard to the applicability of a particular Entry, would the benefit of doubt, even at the prima-facie stage, go to the assessee or to the revenue. Thus taking a prima-facie view of the matter and giving the benefit of doubt to the assessee at this stage, the Tribunal ought not to have directed the appellant to deposit any amount out of the tax demanded as also the penalty levied as a condition for hearing the appeals. Consequently, we set aside the impugned order dated 18.02.2013.
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