Home Case Index All Cases VAT and Sales Tax VAT and Sales Tax + HC VAT and Sales Tax - 2019 (10) TMI HC This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2019 (10) TMI 486 - HC - VAT and Sales TaxClassification of goods - rusk/toast - whether rusk/toast would fall under entry 7 under the head "Bread" under Schedule I of the Chhattisgarh Value Added tax Act, 2005 or whether those items would be required to be dragged into residuary entry under Part IV of Schedule II of the said Act? - HELD THAT:- The settled position in law is that attempts has to be made to find out as to whether the same answers to description of the contents of the basic entry and only in the event it is not possible to do so, recourse to the residuary entry has to be taken as a last resort. Applying such a principle we cannot accept the arguments of the State that the rusk and toast should be dragged into the residuary item away from the broad head of bread, which finds entry and is exempted from levy of any tax under the VAT Act. The view so taken by the learned single judge in KESHARWANI ENTERPRISES VERSUS STATE OF CHHATTISGARH AND OTHERS (AND OTHER CASES) [2018 (3) TMI 1683 - CHATTISGARH HIGH COURT] has held that this court holds that rusk and toast also would fall within entry 7 of Schedule I of the VAT Act and it cannot be considered to be one which would come under the residuary entry, is well fortified and supported by the settled principles of law and binding precedents in relation to such interpretation, therefore, we are not enthused by the argument made on behalf of the State that the decision of the learned single judge needs to be interfered with by treating rusk and toast as different items to be brought under residuary entry and allow the taxing authorities to assess such items as such and demand tax. Appeal dismissed.
|