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2017 (11) TMI 1027 - HC - VAT and Sales TaxLevy of Trade Tax - classification of goods - Poultry Feed Supplements - Whether the Poultry Feed Supplements as sold by the Revisionist/Assessee under its respective brand names are covered under the Entry 'Poultry Feed' and accordingly, are liable for exemption from Trade Tax? - Held that: - mere fact that certain items may cure disease or strengthen bones, liver etc., for that reason alone they may not be held medicine and not Balanced Cattle Feed or Poultry Feed. A Division Bench of this Court in Friends Medicon (P) Ltd. Vs State of U.P. and others, [1996 (12) TMI 402 - ALLAHABAD HIGH COURT], also considered true meaning and import of word "Poultry Feed". It observed that word ''Feed' means, food given to an animal fodder, pasture, meal etc.' Poultry feed' has acquired a definite connotation in livestock farming and there are certain ingredients used as ''concentrates' in such feeds for the health and strengthening of poultry livestock. Feed simplicitor is essential for the maintenance of poultry feed but the concentrates like vitamins etc. in the food stuff enable the poultry to maintain energy, to perform the vital process of life and provide material to replace essential tissues, breakdown of which occurs in the body continuously - Even in the present case it could not be disputed that it composed of water, and organic and mineral matters. Organic matter is composed of proteins, ats, crude fibre and soluble carbohydrates. There are certain substances known as vitamins, medicines to remove toxins for strength and development of poultry. It is well settled that as also need of common parlance that an animal feed supplement or cattle feed supplement or poultry feed supplement or balanced cattle feed or poultry feed is actually used as energy nutrients as well as nutrients rich with substance needs for strengthening the body and its development so that a person engaged in such farming may have good yield of cattles and poultry as the case may be. Tribunal has erred in law in holding the items traded by revisionists by treating the same as medicines or drug and not as poultry feed supplements. The items in view of the circular of Trade Tax Commissioner have to be considered as balanced poultry feed and would have dealt with accordingly - revision allowed - decided in favor of revisionist.
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