Diagnostic and X-ray films excluded from "medical devices" under VAT schedule, with separate classification controlling tax treatment.

Diagnostic films and medical X-ray films were held not to fall within item 31 of Schedule B to the Punjab Value Added Tax Act, 2005 as "medical equipment/devices". The Court relied on the structure of another VAT schedule, which separately listed X-ray films and diagnostic films alongside medical equipment, devices and implants, indicating that these goods formed a distinct class and could not be subsumed within the word "devices". The contrary reliance on dictionary meaning and common parlance was rejected, and the claimed 4% taxation treatment was denied.

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Issues: Whether diagnostic films and medical X-ray films fall under item 31 of Schedule B to the Punjab Value Added Tax Act, 2005 as "medical equipment/devices" and are therefore taxable at 4%.

Analysis: The entry relied upon covered drugs, medicines, medical equipment/devices and implants. The Court compared the disputed goods with the structure of another VAT schedule, which specifically made separate entries for X-ray films and diagnostic films on the one hand and medical equipment, devices and implants on the other. That distinction showed that diagnostic films and X-ray films were treated as a separate class of goods and could not be brought within the expression "devices" in item 31 of Schedule B. The Court therefore rejected the contention based on dictionary meaning and common parlance.

Conclusion: Diagnostic films and medical X-ray films do not fall under item 31 of Schedule B to the Punjab Value Added Tax Act, 2005 and are not taxable at 4%.

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