1. Search Case laws by Section / Act / Rule — now available beyond Income Tax. GST and Other Laws Available
2. New: “In Favour Of” filter added in Case Laws.
Try both these filters in Case Laws →
TaxTMI Login
🚀 New: Section-Wise Filter ✕
Just a moment...
1. Search Case laws by Section / Act / Rule — now available beyond Income Tax. GST and Other Laws Available
2. New: “In Favour Of” filter added in Case Laws.
Try both these filters in Case Laws →
Press 'Enter' to add multiple search terms. Rules for Better Search
---------------- For section wise search only -----------------
Accuracy Level ~ 90%
of 
Press 'Enter' after typing page number.
of Press 'Enter' after typing page number.
No Folders have been created
Are you sure you want to delete "My most important" ?
NOTE:
of Press 'Enter' after typing page number.
of Press 'Enter' after typing page number.
All Case Laws
of Press 'Enter' after typing page number.
of Press 'Enter' after typing page number.
All Case Laws
Note
Bookmark
Share
Don't have an account? Register Here
of Press 'Enter' after typing page number.
<h1>High Court Upholds Green Garlic Exemption, Rules Salt Petre Taxable as Chemical</h1> The High Court upheld the exemption on sales turnover of dry green garlic as a vegetable, in line with previous decisions. Additionally, the Court ruled ... - Issues:1. Exemption on sales turnover of dry green garlic as vegetable.2. Taxation of turnover on sales of salt petre as a chemical.Issue 1: Exemption on sales turnover of dry green garlic as vegetableIn this case, the department filed revision petitions challenging the Tribunal's grant of exemption on the sales turnover of dry green garlic, treating it as a vegetable. The Tribunal based its decision on the interpretation that even if the garlic is dried but not dehydrated, it qualifies as a vegetable under the relevant notification and is exempt from tax. The High Court, after considering previous decisions, including one related to garlic exemption, upheld the Tribunal's decision, stating that the order was in line with the earlier decision of the Court. Therefore, the Court found no reason to interfere with the Tribunal's order granting exemption on the sales turnover of garlic.Issue 2: Taxation of turnover on sales of salt petre as a chemicalThe second issue revolved around the taxation of sales turnover of salt petre, with the assessing officer considering it a chemical and levying tax at 8%. However, the Appellate Assistant Commissioner and the Tribunal disagreed, assessing it at 4% multi-point, based on a previous decision. The Court heard arguments from both sides, with the department asserting that salt petre falls under the definition of a chemical and should be taxed at 8%. The assessee argued that salt petre is used as an intermediary in manufacturing processes and cited chemical properties from a dictionary. The Court analyzed various decisions, including those from Allahabad and Gujarat High Courts, and concluded that salt petre qualifies as a chemical under the relevant schedule. Therefore, the Court set aside the Tribunal's order and restored the assessing officer's decision to tax salt petre at 8%.In summary, the High Court upheld the exemption on sales turnover of dry green garlic as a vegetable, following previous decisions. Additionally, the Court ruled that salt petre should be taxed as a chemical at 8% based on its properties and relevant legal interpretations, setting aside the Tribunal's decision to tax it at 4%.
TaxTMI 
TaxTMI 
