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2013 (6) TMI 231 - HC - VAT and Sales TaxTendu leaves versus minor forest produce - Levy of purchase tax @25% versus 4% (5%) - held that:- There is no taxable entry separately for minor forest produce. The exemption notifications provide for granting exemption to minor forest produce partly so as to reduce the rate of tax to 5%. This tax exemption is available to all the minor forest produce. The issue asto whether exemption would be available to such goods, which are not exigible to tax came up for consideration before the Supreme Court in the matter of Reliance Trading Company v. State of Kerala [2006 (3) TMI 320 - SUPREME COURT OF INDIA], it was observed that “there could be nothing like exemption of goods from tax unless goods are exigible to tax.” There is no dispute that minor forest produce as such, is not exigible to tax. Forest produce like Bamboo, Tendu leaves etc. are exigible to tax under different entries. Thus, the exemption is applicable to all the forest produce which are eixigible to tax. The exemption will certainly be applicable to only those minor forest produce, which are exigible to tax. Since these petitions involve mixed question of facts and law, liberty is reserved to the respective petitioners to prefer an application before the Commissioner, VAT Act, if so advised, for exemption under the above stated notification. - Decided in favor of assessee.
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