Home Case Index All Cases VAT and Sales Tax VAT and Sales Tax + HC VAT and Sales Tax - 2022 (1) TMI HC This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2022 (1) TMI 254 - HC - VAT and Sales TaxClassification of goods - steel strip (shoe-shank) used in between the insole and sole of the shoe as iron and steel - covered under the Entry No. 40 of schedule -II, Part -A of the U.P. VAT Act, 2008 and taxable @ 4 % or to be included in the"Lower of Shoes" as mentioned in the Entry No. 150 of Schedule II, Part C of the U.P. VAT Act, 2008 taxable @ 4 % and treating it as an unclassified item taxable @ 12.5? - HELD THAT:- Entry No. 150 of Schedule II, Part C of the U.P. VAT Act, 2008 shows that various items of shoe i.e. upper and lower of shoes, sole, ilet, shoe laces are mentioned in the aforesaid entry. Had the intention of the legislature to exempt all component used in manufacture of lower of shoe, which consists the lower of shoes, shank and heel, there was no requirement for specifically mentioning the sole in the entry no. 150 - The item sold by the applicant is only one of the component of lower of shoe which cannot be covered in the nature of lower of shoe because lower of shoe consists of three items i.e. outsole, shank and heel. Admittedly, the applicant is selling only shank as such it is not covered under the said entry i.e. Entry no. 150 because the entry does not refer lower of shoe and all its component. So far as the contention of the learned counsel for the applicant to that extent is rejected. In the alternative, learned counsel for the applicant submitted that admittedly the goods sold by the applicant has been manufactured by the iron strip as defined under Section 14 of Central Sales Tax Act, 1956, where iron strips has specifically been mentioned - the said ground has not only been taken before the Tribunal but also before the first appellate authority and same has not been considered by the authorities below. The Tribunal being the last Court of fact, in para 4 of its order has referred the argument of the counsel for the applicant but has not whispered a word about the said contention in its finding. The matter is remanded to the Tribunal for fresh consideration as to whether the item sold by the applicant can fall under the iron and steel as defined under Section 14 of the Central Sales Tax Act,1956 of Serial no. 40 - revision disposed off.
|