TMI Blog1993 (2) TMI 284X X X X Extracts X X X X X X X X Extracts X X X X ..... ld "roller face industrial batching trolley" to M/s. Raipur Mills Ltd., Ahmedabad, and also sold "two-side open wooden industrial trolley" to M/s. Jyoti Processors. In respect of these two sales the applicant filed an application before the Deputy Commissioner of Sales Tax under section 63 of the Act for determination of the rate of tax applicable to the said two sales. According to the applicant, the trolleys sold to M/s. Raipur Mills Ltd. and M/s. Jyoti Processors were machinery used in the manufacture of goods and, therefore, they were covered by entry 16(1) of Schedule II, Part A to the Act, and even alternatively, according to the applicant, the said trolley could be said to be accessories of machinery covered by entry 36 of the exemption notification. The Deputy Commissioner accepted the applicant's plea in respect of "roller face industrial batching trolley" by holding it as machine, but held that "two-side open wooden industrial trolley" was neither machinery used in the manufacture of goods nor it was accessory of the machinery and so the said trolley was covered by residuary entry 13 of Schedule III to the Act. 3.. The said order of determination was challenged by the a ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ing entries. 6.. The spare parts and accessories of machinery which is covered by the said entry No. 1 or entry 16 in Part A of Schedule II, are exempted as per entry No.36 of the notification issued under section 49 of the Act, which reads as under: Entry 36: Sales of parts and accessories To the extent to which Nil (excluding ball-bearings) of the amount of sales tax machinery which is covered by exceeds six paise in the sub-entry (1) of entry 16 in Part A rupee and whole of of Schedule II. general sales tax. 7.. Mr. R.D. Pathak, learned advocate appearing for the applicant submits that the trolley in question can be said to be "machinery" as the contrivance of the trolley consists of its wheels designed so as to ensure a desired movement and the trolley and the processing machine are inter-connected and integrated and they interact in unison with each other by use of manual power and motive power with a view to subject the textile fabrics to specified process. Mr. Pathak emphasised the role played by such a trolley in carrying the textile cloth to the processing machine for the purpose of processing and receiving the cloth in regular folds after the processing is over. Acc ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... one with or upon the other in interdependent action with the object of producing a specific and definite result. Their Lordships were of the view that there was great danger in attempting to give a definition of the word "machinery" which would be applicable in all cases and it may be impossible to succeed in such an attempt. It was observed that if their Lordships were obliged to run the hazard of the attempt they would be inclined to say that the word "machinery" when used in the ordinary language prima facie, means some mechanical contrivances which by themselves or in combination with one or more other mechanical contrivances by the combined movement and interdependent operation of their respective parts generate power, or evoke, modify, apply or direct natural forces with the object in each case of effecting so definite and specific a result. Their Lordships further observed that the determination in any given case of what is or is not "machinery" must, to a large extent, depend upon the special facts of that case, and also on consideration as to whether an intelligent person would in the ordinary use of language, describe the items as machinery. 10.. The above observations ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ean something more than a collection of ordinary tools. It must mean something more than a solid structure built upon the ground whose parts either do not move at all or, if they do move, do not move the one with or upon the other in interdependent action with the object of producing a specific and definite result. (ii) It is not possible to define 'machinery' as applicable to all cases. However, it could be said that, when used in ordinary language, prima facie, means some mechanical contrivances, which by themselves or in combination with one or more other mechanical contrivances, by the combined movement and interdependent operation of their respective parts, generate power, or evoke, modify, apply or direct natural forces with the object in each case of effecting so definite and specific a result. The tank and its supporting structure do not satisfy this definition. (iii) Determination as to what is or what is not "machinery" must, to a large extent, depend on the special facts of each case. (iv) Illustrations are better guides to ascertain the true meaning of the word 'machinery', when used ordinarily and not as a specific definition. (v) Whether an intelligent person ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the processing machinery inasmuch as such a trolley is neither an addition or adjunct or accompaniment for comfortable use of the processing machinery or for adding beauty, elegance or comfort in such use. Even though "two-side open wooden industrial trolley" sold by the applicant may have been specially designed for use in textile industry it does not partake any character of "machinery" nor can it be considered as an addition for use or functioning of the processing plant. We are, therefore, in respectful agreement with the judgment of the Karnataka High Court in Dani v. State of Karnataka [1979] 44 STC 276 laying down that the trailer is neither a "machinery" nor "accessory" of machinery. 16.. We, therefore, hold that the Tribunal was justified in holding that the sale of "two-side open wooden industrial trolley" by the applicant to M/s. Jyoti Processors as per its sale bill dated September 4, 1982 would be covered under the residuary entry 13 of Schedule III and not under entry 16(1) of Schedule II, Part A of the Act, nor under entry 36 of the Schedule appended to the Government notification issued under section 49(2) of the Act. 17.. The reference is accordingly answered ..... X X X X Extracts X X X X X X X X Extracts X X X X
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