TMI Blog2010 (7) TMI 904X X X X Extracts X X X X X X X X Extracts X X X X ..... 5A of Schedule A to the West Bengal Value Added Tax Act, 2003 (in short, the VAT Act ) as is claimed and would be treated as an unspecified item as per Schedule CA to the VAT Act and exigible to tax at 12.5 per cent. Upon hearing both the sides, the Tribunal by its order dated November 6, 2008 held in favour of the Revenue. To be very precise, this Tribunal held that Homoeo Globules are not sugar as referred to at serial No. 35A of Schedule A to the West Bengal VAT Act, 2003 . It further observed, . . . that the claim of the petitioner as alternative argument that homoeo globule is taxable at four per cent is also not acceptable . The petitioner challenged the order dated November 6, 2008, as aforesaid, before a Divisional Bench of the honourable Calcutta High Court. The honourable Calcutta High Court by its order dated December 21, 2009 set aside the order dated November 6, 2008 and remanded the matter back to this Tribunal for fresh hearing to consider the technical aspects involved in the process of manufacturing the disputed item. Both the sides have submitted written notes on their submissions orally made. This Tribunal is required to answer whether the disputed it ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... judgment dated November 6, 2008 of this Tribunal before the honourable Calcutta High Court. The honourable Calcutta High Court set aside the aforesaid judgment of this Tribunal and remanded the matter back to the Tribunal for fresh examination as discussed hereinbefore. With reference to the observation made by this Tribunal that sugar undergoes considerable change through various processes before being converted into the disputed item, the honourable High Court observed that such processes had not been spelt out by the Tribunal and according to the honourable Court such observation was purely on surmise. All points were, however, kept open. The learned advocate details the process of manufacturing of the disputed item which was considered by the honourable Calcutta High Court. The process of manufacturing as detailed by the learned advocate is as below: Manufacturing process of sugar globules may be shown as following: (i) Grinding of sugar; (ii) Formation of globules; (iii) Drying; (iv) Coating. (i) Grinding of sugar. In this process, sugar grinds with grinder to fine mesh and further filters through sieve, so that any unwanted material may be sorted out ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... isputed item is not manufactured or made in India. The respondent-authorities are represented by Sri B. Majumdar, learned State Representative. It is submitted by him that disputed item cannot be equated with sugar. Irrespective of the sucrose content therein, these two items, mainly sugar and homoeo globules, are used for two different purposes. It is argued that if someone goes to the market and asks for sugar, he will not be satisfied if he is given homoeopathic globules and vice versa is also true. It is argued by him that term sugar usually refers to sucrose and it is called table sugar or saccharose. Therefore, it is submitted by the learned State Representative that the disputed item cannot be treated as an item falling within Sl. No. 35A of Schedule A to the VAT Act. In absence of any specific entry in any of the Schedules, it was rightly held to be an unspecified item taxable at 12.5 per cent. The question before us is whether the disputed item falls within Sl. No. 35A of Schedule A to the VAT Act which covers sugar manufactured or made in India, misri and batasa . It is the contention of the petitioner that the disputed item is nothing but sugar and the responden ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e to the Central Excises and Salt Act, 1944 . Item No. 8 of the First Schedule to the Central Excises and Salt Act, 1944, defined sugar as under: Sugar means any form of sugar containing more than 90 per cent of sucrose. Taking cue from the expression any form , the honourable judges observed, we are accordingly of opinion that the word sugar in item 47 is intended to include within its ambit all forms of sugar, that is to say, sugar of any shape or texture, colour or density and by whatever name it is called . We should not forget here that the items under scanner were patasa, harda and elachidana which are generally treated by the common people as sweetening material in everyday life. But the disputed item being manufactured and sold by the petitioner is not used in everyday life as sweetening material. The process of manufacturing as highlighted by the petitioner also does not and cannot change the general perception. We are afraid that even the petitioner would not accept it as sugar in the sense being understood by the common people. Viewing the question from the above angle, we would like to observe that a dealer dealing in sugar would not accept the disputed it ..... X X X X Extracts X X X X X X X X Extracts X X X X
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