Entry tax classification turns on actual goods purchased, not excise labels or invoice wording, for liability under the Karnataka Act.

Entry tax under section 3(1) of the Karnataka Tax on Entry of Goods Act, 1979 applies only to goods specifically covered by the First Schedule and the relevant notification. IPOL cylinder oil was held, on the material described, to be base oil used as raw material for grease manufacture, not lubricating oil; the Central Excise classification and invoice description could not override the statutory entry-tax classification. The revisional authority's assumption that lubricating oil had been purchased was factually mistaken, so the commodity was not exigible to entry tax as lubricating oil.

---

---

Issues: Whether IPOL cylinder oil was liable to entry tax under section 3(1) of the Karnataka Tax on Entry of Goods Act, 1979 as lubricating oil, or whether it was base oil not covered by the First Schedule and the relevant notification.

Analysis: Section 3(1) levies entry tax only on goods specified in the First Schedule and at the rates notified by the State Government. Entry 67 covers petroleum products including lubricating oil, but the statutory entry and the notification dated 30 March 2002 did not mention IPOL cylinder oil or base oil. The invoice described the purchased commodity as IPOL cylinder oil 1200, while the reference to lubricating oil and Chapter Heading 27101980 was only a Central Excise classification and could not control liability under the Entry Tax Act. The material on record, including the test certificate and the advance ruling relied on by the assessee, showed that the commodity was base oil used as raw material for making grease and not lubricating oil. The revisional authority proceeded on the mistaken premise that lubricating oil had been purchased and upgraded, which was a factual error.

Conclusion: The commodity was not exigible to tax under section 3(1) of the Karnataka Tax on Entry of Goods Act, 1979 as lubricating oil, and the assessee succeeded.

Ratio Decidendi: Liability to entry tax must be determined by the actual goods purchased as covered by the First Schedule and notification under the charging provision, and a Central Excise classification or a mistaken description in the invoice cannot substitute the statutory classification under the Entry Tax Act.

---