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TMI Blog2020 (2) TMI 747X X X X Extracts X X X X X X X X Extracts X X X X ..... te Assistant Commissioner and held against the Assessee that the job of printing of Bill books, receipt books, name pads e.t.c., of the particular institution viz., Arokiya Matha Higher Secondary School are not works contract and subject to tax as per Section 3 (2) of the Tamil Nadu General Sales Tax Act (in short 'Act'). The relevant portion of the order passed by the authority is quoted below for ready reference: "Perusal of the records reveals that the Appellate Assistant Commissioner (CT) allowed the appeal observing that goods purchased locally were used and materials were manufactured for the use of the individual customer. It is seen on going through the records that the dealers manufactured printed materials by using their ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ed the order in favour of the Assessee in the following manner: "7.I heard both the sides and perused the connected records which are made available before me. The assessing authority has rejected the accounts on the ground that the society-appellant has issued sale bills and therefore sold the printed materials only to the customer. The assessing authority has added that the raw-materials were owned by the Society-appellant and the appellants has failed to prove that they are doing job work only. The Departmental representative also in his written argument had stated that the customers have not supplied any materials to the appellant and prayed for sustainment of assessment order. I have examined all these points with that of accounts. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Higher Secondary School on receipt of specific orders and therefore the work carried out by the Assessee is in the nature of works contract, since the Sales Tax under the provisions stood already paid for materials like paper and binding materials and no tax can be levied by the revisional authority by reversing the order of the Appellate Authority. She relied upon the Judgment of the Bombay High Court in the case of Sarvodaya Printing Press Vs. State of Maharashtra reported in (1994) (93)STC 387. The relevant portion of the said Judgment is quoted below for ready reference: "The applicant ran a printing press where only job-work was done. It supplied printed material to the Madhya Pradesh Electricity Board (MPEB) in the form of multi-col ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... EB was, by the very nature of things, only incidental or ancillary to the contract of printing. No transfer of chattel qua chattel was involved. The work done was composite or indivisible with separate charges for the material. The applicant was responsible for protecting the goods and preventing them from falling into the hands of third parties. The goods were not standard goods and were not capable of any use to any one else and thus had no commercial value. Material could not be used even as scrap if rejected and had to be destroyed. Therefore, the supply of printed material to the MPEB by the applicant was not a sale but a works contract. 4. She also relied on the Judgment of the Hon'ble Supreme Court in the case of State of Tamil ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ice paid for supplying such printed question papers or printed matters entails primarily the confidence, and secondly the skill and to a very small measure the material... It cannot be categorised as entailing sale of goods but it is rather a contract for works done." Government of Andhra Pradesh V.Guntur Tobaccos Ltd. [1965] 16 STC 240 (SC) applied." 5.The learned counsel for the Revenue, however, reiterated his submissions advanced before the Joint Commissioner and also placed reliance on the impugned order of the Joint Commissioner in support of his contention. 6.Having heard the learned counsels on either side and having gone through the materials placed on record and the Judgments cited at bar, we are of the opinion that the Impugned ..... X X X X Extracts X X X X X X X X Extracts X X X X
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