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2023 (8) TMI 608 - MADRAS HIGH COURTSuo moto revision taken under Section 34 of Tamil Nadu General Sales Tax Act, 1959 - Classification of goods - rate of tax - two wheeler and tractor fan belts - goods were specifically included under Entry 50(vi) of Part-D of the first schedule of TNGST Act 1959 or not - HELD THAT:- The invoice bills produced by the appellant would clearly establish the fact that the belts that have been sold by them are accessories to two wheeler or a tractor. Therefore, it is clear that the said goods would clearly fall within entry 30 of Part-C of the first schedule attracting 5% tax for the two wheeler parts. As far as the tractor belts are concerned, they fall under entry 27 of Part-B of the first schedule attracting 3% tax. A perusal of item 50(vi) of Part D of the first schedule indicates that it relates to conveyor, transmission or elevator belts or belting of rubber whether combined with any textile material or otherwise which would attract 8% tax - As rightly pointed out by the learned counsel appearing for the appellant the Division Bench in THE STATE OF TAMIL NADU REP. BY THE DEPUTY COMMISSIONER (COMMERCIAL TAXES) VERSUS PM. ENGINEERING AND CO. [2014 (3) TMI 233 - MADRAS HIGH COURT] had categorically found that when there is a specific entry to deal with an item in question, the same cannot be brought under the general entry. In the present case, the two wheeler fan belts and tractor fan belts are specifically found mentioned under entry 30 of Part-C and entry 27 of Part-B. Therefore, the first respondent was not right in invoking entry 50 which is a general entry. It is brought to the notice of the Court that the first respondent had initiated suo moto revision proceedings only for the assessment year 1993-1994 and 1994-1995. However, the assessment for the previous and subsequent assessment years have not been subjected to suo moto revision. Therefore, it is clear that the first respondent has cherrypicked the said assessment years for exercising his suo moto powers for reasons best known to him. All the substantial questions of law are answered in favour of the appellant and the order impugned in the petition is set aside and this Tax Case is allowed.
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