TMI Blog1965 (11) TMI 97X X X X Extracts X X X X X X X X Extracts X X X X ..... and acceptable forms. They did not in the process lose their character as iron and steel. The dealer sold "iron and steel" in the shape of bars, flats and plates and the customer purchased "iron and steel" in that shape. We, therefore, hold that the bars, flats and plates sold by the assessee are iron and steel exempted under the Notification. - Civil Appeal No. 814 of 1964 - - - Dated:- 29-11-1965 - SUBBA RAO K., SIKRI S.M. AND SHAH J.C. JJ. I.N. Shroff, for the appellants. C.B. Agarwala, Senior Advocate (C.P. Lal with him), for the respondent. -------------------------------------------------- The judgment of the Court was delivered by SUBBA RAO, J.- This appeal by special leave raises the question of the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e said orders of the Sales Tax Officer. A Division Bench of the High Court held that the iron bars, flats and plates sold by the respondent were exempted from sales tax under the Notification. In that view, the orders of the Sales Tax Officer were quashed. The State has filed the present appeal, by special leave. The only question in this appeal is whether the said iron bars, flats and plates are not iron and steel within the meaning of item, No. 39 of the Notification. Parliament enacted Essential Goods (Declaration and Regulation of Tax on Sales or Purchases) Act, 1952 (Act No. 52 of 1952), which came into force on August 9, 1952. In Schedule I of the said Act, iron and steel were declared essential for the life of the community. Th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... for manufacturing other goods are exempted from taxation. So long as iron and steel continue to be raw materials, they enjoy the exemption. Scrap iron purchased by the respondent was merely re-rolled into bars, flats and plates. They were processed for convenience of sale. The raw materials were only re-rolled to give them attractive and acceptable forms. They did not in the process lose their character as iron and steel. The dealer sold "iron and steel" in the shape of bars, flats and plates and the customer purchased "iron and steel" in that shape. We, therefore, hold that the bars, flats and plates sold by the assessee are iron and steel exempted under the Notification. The conclusion arrived at by the High Court is correct. In the r ..... X X X X Extracts X X X X X X X X Extracts X X X X
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