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2016 (10) TMI 749 - HC - VAT and Sales TaxEligibility for refund of tax paid on the purchase of inputs - items required for the establishment of the plant and for its incidental purpose - connection of electronic gadgets or drinking water with the development activity of the unit concerned - Rule 130- A of the Rules - Held that: - the Tribunal has taken note of only clause (b) of sub-rule (1) of Rule 130-A namely that; setting up, operation or maintenance. Apart from the said aspect as already reproduced earlier clause (c) of Rule 130-A (1) speaks for all such inputs which are purchased for use in manufacture, trading, production, processing, assembling, repairing, reconditioning, reengineering or packing any unit located in the area of Special Economic Zone. In our view, aforesaid clause (c) of Rule 130-A (1) is wide enough for all activity of manufacture or trading or production or processing or assembling or repairing or packing and all such incidental purchases for the principal object of manufacture or trading or production or processing or assembling or repairing or reconditioning or reengineering or packing would get included for the purpose of input tax credit or refund of tax, as the case may be. When the rule itself is clear, coupled with the observations made by the Tribunal under the impugned order, we do not find any question of law would arise for consideration as sought to be canvassed. Items of the electronic gadgets or mobile or drinking water are required for the incidental activity of the principle object of manufacture or trading or production or processing or assembling or repairing or reconditioning or reengineering or packing. Hence, such would fall in the category of availability of input tax credit under Rule 130 –A of the Rules. Matter remanded to the assessing authority - petition dismissed.
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