https://www.taxtmi.com/caselaws?id=152973 Sewing thread was treated as cotton yarn for sales tax classification because the product retained its essential commercial identity despite being twisted or rolled into a different form. Applying the common parlance test, the Orissa High Court noted that cotton yarn was specifically notified at the concessional rate, while sewing thread was not separately listed, and held that limited processing or change in use does not create a new commodity if the original identity remains recognisable. On that basis, sewing thread fell within the notified category of cotton yarn and was taxable at the lower rate applicable to that commodity. en-us Tue, 23 Sep 1980 00:00:00 +0530 Mon, 15 Jul 2013 12:45:16 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=152973 Sewing thread was treated as cotton yarn for sales tax classification because the product retained its essential commercial identity despite being twisted or rolled into a different form. Applying the common parlance test, the Orissa High Court noted that cotton yarn was specifically notified at the concessional rate, while sewing thread was not separately listed, and held that limited processing or change in use does not create a new commodity if the original identity remains recognisable. On that basis, sewing thread fell within the notified category of cotton yarn and was taxable at the lower rate applicable to that commodity. Case-Laws VAT and Sales Tax Tue, 23 Sep 1980 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=152973