2008 (4) TMI 52 - SC - VAT and Sales Tax

Whether the satilon brand cookware is an aluminium household utensil classifiable under Entry 5 of the First Schedule under the Kerala G.S.T. Act or under Entry 104 plea of assessee that satilon coated cookware can be treated as ordinary aluminium household utensils is rejected - satilon coating makes the goods non-sticky & hence different from the aluminium household utensils so classifiable under Entry 104 - Coating of tuflon also makes the article non-stick appeal of assessee dismissed

Summary

Issues: Classification of satilon brand cookware under the Kerala General Sales Tax Act, 1963.

Analysis:
1. Civil Appeal Nos. 6469-6470 of 2002 & 1203 of 2008: The main issue in these appeals was the classification of the satilon brand cookware under the Kerala General Sales Tax Act, 1963. The question was whether the product falls under Entry 5 as "aluminium household utensil made of aluminum" or under Entry 104 as "pressure cooker, cook and serve ware to keep food warm, casseroles, water filters and similar home appliances." The Deputy Commissioner revised the assessment, stating that the satilon coating made the goods non-stick, differentiating them from traditional aluminum utensils. The Tribunal and High Court upheld this view, classifying the products under Entry 104. The Supreme Court agreed, emphasizing that the satilon coating changed the nature and utility of the product, making it distinct from regular aluminum utensils.

2. Civil Appeal No. 7169 of 2004: In this case, the cookware was coated with tuflon instead of satilon, also providing a non-stick feature. The counsel for the appellant conceded that the issue was covered by a previous decision of the High Court, which was upheld by the Supreme Court in a related case. As a result, the appeal was dismissed, affirming the decisions of the High Court and Tribunal.

3. Judgments: The Supreme Court rejected the appellant's reliance on three judgments, stating they were not applicable to the present case. The Court emphasized deciding the issue based on the specific facts at hand, leading to the dismissal of the appeals.

In conclusion, the Supreme Court upheld the classification of satilon-coated cookware under Entry 104 of the Kerala General Sales Tax Act, emphasizing the distinctiveness brought by the coating, which differentiated the products from traditional aluminum utensils. The Court dismissed the appeals, affirming the decisions of the Tribunal and High Court in both sets of appeals.