Effective steps requirement defeats sales tax exemption claim for a new industrial unit under the notification.

Sales tax exemption for a new industrial unit was unavailable because the exemption notification required effective steps for setting up the industry before 1 January 2000, and the petitioner failed that condition. The court treated provisional registration before the appointed date, together with the prescribed conditions, as part of the required standard for "effective steps." Mere acquisition of land before the cut-off date was insufficient, since no further steps toward establishment of the unit were shown. On that basis, the petitioner did not qualify for the exemption.

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Issues: Whether the petitioner was entitled to sales tax exemption for a new industrial unit under the Government order, and whether the petitioner had taken the required effective steps before the prescribed date.

Analysis: The exemption notification required the industrial unit to have taken effective steps for setting up the industry before 1 January 2000. The record showed only acquisition of land before that date, with no further steps taken towards establishment of the unit. The applicable interpretation of "effective steps" required provisional registration before the appointed date, along with the other prescribed conditions. On that standard, mere purchase of land was insufficient.

Conclusion: The petitioner did not satisfy the condition of having taken effective steps for setting up the industrial unit and was not entitled to the exemption.

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