TMI Blog2021 (2) TMI 152X X X X Extracts X X X X X X X X Extracts X X X X ..... has notified that goods containing more than 10% fly ash contents by weight, would be entitled to a rebate of tax @ 25%. Any goods that would have been thus manufactured containing more than fly ash content would attract the rebate of tax. Merely because the goods may exchange hands from the manufacturer to the trader in a retail chain, before they reach the consumer, the same would be of no material consequence to the rate of tax applicable to such goods. Once goods are found eligible to rebate of tax owing to fly ash content of more than 10%, and that fact gets established at the hands of the manufacturer then subject to the goods remaining the same, they would continue to remain taxable at the reduced rate (upon rebate being given ef ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... al filed by the assessee and modified the rate of tax assessed on portland cement, assessed at 12% by the assessing authority, to 9% relying on notification no.592 dated 27.02.1998. 3. The revision has been pressed on the following question of law: I. Whether on the facts and circumstances of the case the Commercial Tax Tribunal was legally justified in levying the tax on the sale of cement @ 9% which is not a sale of any manufacturer of cement within the State of U.P. but the same was purchased from Satna outside the State of U.P.? 4. Undisputedly, the State Government had issued notification no.592 dated 27.02.1998 in exercise of powers under Section-5 of UP Trade Tax Act, 1948 (hereinafter referred to as the 'Act') w ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e specified accounts and had thus not fulfilled one of the conditions for grant of rebate of tax. 8. With respect to such objection, the Tribunal has found that undisputedly the petitioner is a trader who had purchased the goods namely portland cement containing fly ash in excess of 10% weight. It has also been held that the condition to maintain the documents is clearly one applicable to the manufacturers and not to traders. Further, it has been observed that against the declaration made by the assessee that the goods contained more than 10% of fly ash content, by weight, revenue has not brought on record any adverse material. 9. Having heard learned counsel for the parties and having perused the record, though the notification do ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... rkable to require all traders in the retail chain to maintain accounts of the description given in the notification. In fact the traders cannot maintain such document as they are not the manufacturer, who alone may certify the contents of the goods. 13. Therefore, the enquiry to be made in the assessment of a trader would be only two fold. First, whether upon sale by the manufacture the goods were entitled to rebate. Once the claim of rebate was established at the hands of the manufacture, the only thing remaining relevant to be examined would be whether the identity of the goods sold by the trader was the same. 14. In the facts of the present case, the revenue authorities rejected the claim of the assessee only on account of absence ..... X X X X Extracts X X X X X X X X Extracts X X X X
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