Karnataka High Court: Exemption denied for retreaded tires. Small-scale unit ineligible without sale of goods.

The High Court of Karnataka dismissed the writ petition concerning exemption for retreaded tires, ruling that the sale was of materials used in the process, not the retreaded tire itself. The small-scale industrial unit was deemed ineligible for the exemption without a sale of the goods produced. The petitioner was given four weeks to file objections to the proposition notices, and no costs were awarded.

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The High Court of Karnataka dismissed the writ petition regarding exemption for retreaded tires. The court held that there is no sale of the retreaded tire itself, only of the materials used in the process. The small-scale industrial unit is not entitled to the exemption without a sale of the goods produced. The petitioner was granted liberty to file objections to the proposition notices within four weeks. No costs were awarded.

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