TMI Blog2016 (1) TMI 189X X X X Extracts X X X X X X X X Extracts X X X X ..... ication of the ‘coolant’ manufactured by the petitioner, contains petroleum by product, after extending a reasonable opportunity of hearing to the petitioner, to pass orders in accordance with law. In the event, it is established, by way of test or other examination, that the ‘coolant’ manufactured by the petitioner contains demineralised water and Ethylene Glycol and nothing more, the two clarifications Annexures-B and C will have no application to the case of the petitioner. - Writ Petition Nos. 36589-36593/2015 (TAX) - - - Dated:- 1-12-2015 - Ram Mohan Reddy, J. For the Appellant : Sri. K P Kumar, Sr. Adv For the Respondent : Sri. S V Girikumar, AGA ORDER Petitioner a registered trader under the Karnataka Tax on ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Ethylene Glycol, neither of which are petroleum products. While the function of a coolant is to prevent over heating and not the reduction of friction, coolants, it is asserted cannot be lubricating oil. It is the further assertion of the petitioner that coolants are neither classifiable as lubricating oils nor as petroleum products and as such, are not liable to tax under the provisions of the KTEG Act. According to the petitioner assessments were concluded for each assessment year from 2003-04 to 2010-11 permitting exemption claimed by the petitioner on the turn over of coolants, consciously accepting the fact that coolants since not notified are not liable to tax under the KTEG Act. 3. It is stated that, on 15.2.2013, one M/s. Karnat ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... years 2005-06 to 2009-10. The proposal was to rectify the assessments orders dated 29.02.2012 (Annexures-A1 to A5) for the assessment years 2005-06 to 2009-10. The proposal was to rectify the assessment orders under Section 17(1) of the KTEG Act by levying tax on the turnover of coolants brought by the petitioner into the State of Karnataka at the rates as set out in the clarifications Annexure B and C . 6. It is the allegation of the petitioner that there being no similarity in the ingredients in the radiator coolant manufactured by it with that of coolant oil in case of M/s. Karnataka Automats Private Limited and radiator coolant in the case of M/s. Poomkudy Agencies Private Limited, the two clarifications, Annexures B and ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ester fibers and fabric industry, and polyethylene terephthalate resins used in bottling, a small percent is also used in industrial applications like antifreeze formulations and other industrial products. It is said that it is odorless, colorless, syrupy, sweet-tasting liquid and moderately toxic. Thus, it is not a byproduct of petroleum. If that is so, the clarifications dated 01.04.2013 at Annexure-B and dated 21.10.2014 at Annexure-C that coolants and radiator coolant are lubricating oil and petroleum product liable for entry tax at 5%, is incorrect. 9. 2nd respondent, without adverting to relevant facts over constituents/ingredients of coolant manufactured by the petitioner, jumped to the conclusion that it is identical to the ..... X X X X Extracts X X X X X X X X Extracts X X X X
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