Binding precedent on exemption entries treated PVC cloth as cotton fabrics and preserved tax exemption under the sales tax schedule.

PVC cloth (rexine) was treated as cotton fabrics for the purpose of the exemption entry under the Kerala General Sales Tax Act, because earlier binding decisions had already interpreted the same exemption provision that way. The court found no compelling ground to revisit that interpretation, so the Tribunal's view was upheld. The practical effect was that rexine remained exempt from tax under Entry 7 of Schedule III, and the revision petition failed.

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Issues: Whether PVC cloth (rexine) is cotton fabrics and therefore exempt from tax under Entry 7 of Schedule III of the Kerala General Sales Tax Act.

Analysis: The issue was covered by earlier decisions holding that PVC cloth (rexine) falls within cotton fabrics for the purpose of the exemption entry. As the earlier view was applicable to the case and no ground was made out for reconsideration, the Appellate Tribunal's view was upheld.

Conclusion: PVC cloth (rexine) is cotton fabrics within Entry 7 of Schedule III of the Kerala General Sales Tax Act and is exempt from tax. The revision petition failed.

Ratio Decidendi: Where a commodity is covered by binding precedent interpreting an exemption entry, that interpretation governs unless compelling reasons are shown for reconsideration.

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