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2015 (11) TMI 326 - HC - VAT and Sales TaxLevy of entry tax - petitioner imports tea from outside and blends the same with the local varieties and sells the same in packed condition inside the State and outside the State in course of inter-State trade and commerce - Held that:- Entry 40 of the Schedule discloses that tea is specified goods. Upon reading of sub-sections (1) and (2) of section 2, the view taken by the Commissioner does not appear to be correct. It may be that the petitioner imports the tea from outside and a part of it is sold in Assam by blending and a part of it is sold in other States as inter-State sale. He paid VAT for the sale in Assam and Central sales tax for the sale outside the State. - tea imported should be sold in the same form in order to get exemption of entry tax does not appear to be a correct view. By blending local varieties, there is no change in the nature of the product both for the local sale of local variety and after blending with the imported goods, VAT is paid and for inter-State sale Central sales tax is paid and the tea even after blending very much remains as specified goods. - levy of entry tax on the import of tea and local sale and inter-State sale of the blended tea is untenable. - Decided in favor of assessee.
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