https://www.taxtmi.com/caselaws?id=106097 A reversible filtration and heating process that merely removed impurities from red oil was not treated as consumption or use of the goods in the manufacture of sandalwood oil for purchase tax purposes under the Kerala General Sales Tax Act. The material did not lose its identity, because sandalwood oil could be restored to red oil by adding impurities back, so no new and distinct commodity was produced. The alternative basis of use or disposal under section 5A(1)(b) also failed on the same reasoning. Purchase tax was therefore not attracted, and the assessee succeeded; the assessment could not be sustained. en-us Wed, 30 Apr 2008 00:00:00 +0530 Fri, 17 Jun 2016 18:58:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=106097 A reversible filtration and heating process that merely removed impurities from red oil was not treated as consumption or use of the goods in the manufacture of sandalwood oil for purchase tax purposes under the Kerala General Sales Tax Act. The material did not lose its identity, because sandalwood oil could be restored to red oil by adding impurities back, so no new and distinct commodity was produced. The alternative basis of use or disposal under section 5A(1)(b) also failed on the same reasoning. Purchase tax was therefore not attracted, and the assessee succeeded; the assessment could not be sustained. Case-Laws VAT and Sales Tax Wed, 30 Apr 2008 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=106097