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2023 (10) TMI 158 - HC - VAT and Sales TaxClassification of goods - Bakery Shortening and Vanaspati (Hydrogenated Vegetable Oil) - both are one and the same commodity or not - whether bakery shortening should be covered under Entry 130, Part – A, Schedule II of UP GST Act or to be taxed as unclassified goods at a higher rate of tax, i.e., 12.5%? HELD THAT:- After considering various materials brought on record from the stage of Assessing Authority to the stage of Tribunal, the Assessing Authority brushed aside the evidence brought on record and levied higher rate of tax, which has been turned down by the appellate authority after due consideration of materials on record, holding that bakery shortening is one and the same thing as vanaspati. The Apex Court in Mauri Yeast India Private Limited [2008 (4) TMI 101 - SUPREME COURT] has specifically held that if there is a conflict between the two entries, one which favours the assessee must be followed. he judgement relied upon by the Revenue of the Kerala High Court in the case of M/s Parisons Food Private Limited [2018 (1) TMI 1195 - KERALA HIGH COURT] is distinguishable and not applicable in the present case, since the entries in both the Kerala VAT Act/UP VAT Act are different. Under the aforesaid case, entry of “others”, including 'vanaspati' was interpreted by the Kerala High Court by holding that the general word “other” is followed by the specific word “including vanaspati”. Hence, the definition is exhaustive, coupled with the fact that 8 digit HSN Code is provided against the said entry under the Kerala VAT Act, while under the UP VAT Act, entry is 'Vanaspati (hydrogenated vegetable oil)', which is specific word being followed by general words. Further, the notifications dated 16.12.1998 and 30.04.2003 issued by the Government of India were not placed for consideration before the Kerala High Court, wherein, it has been acknowledged by the Government of India that bakery shortening means and is commonly known as 'vanaspati'. The revision fails and is hereby dismissed.
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