1979 (2) TMI 183

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....7 per cent on the sales of galvanised iron sheets, presumably, treating them as "iron goods" under entry 40 of Notification SRO No. 138 dated 28th March, 1963, and also imposed a penalty of Rs. 500. In revision, the Commissioner, Sales Tax, held that the sales tax was leviable at 2 per cent for the period from 1st April, 1963, to 1st August, 1963, and at 7 per cent for the remaining period. He made an order accordingly. Aggrieved by the order, the firm filed a writ petition in this Court. The writ petition came up for hearing before a learned single Judge of this Court: By his order dated 10th April, 1970, the learned single Judge remanded the case observing as under: "The learned Commissioner seems to have been quite right in having assess....

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....hat is to say,- (a) pig iron, and iron scrap; (b) iron plates sold in the same form in which they are directly produced by the rolling mill; (c) steel scrap, steel ingots, steel billets, steel bars and rods; (d) (i) steel plates } (ii) steel sheets } sold in the same form in which they (iii) steel bars and tin bars } are directly produced by the (iv) rolled steel sections } rolling mill." (v) tool alloy steel } To the same effect is entry No. 2 in the Third Schedule to the Andhra Pradesh General Sales Tax Act (Act No. 6 of 1957). This entry fell for consideration by a Division Bench of the Andhra Pradesh High Court in the case of Sri Durga Hardware Stores[1973] 32 S.T.C. 322; 1973 Tax. L.R. 2317. Their Lordships o....

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....orrugation results merely in the alteration of the shape of the raw material, 'iron and steel'. Both corrugation and galvanisation improve the utility of the raw material. By the process of galvanisation and corrugation, the iron and steel do not lose their essential character as 'iron and steel' when the resulting articles are sold as galvanised plain or corrugated sheets. The purposes for which the iron is used may be different from the purposes for which the galvanised plain or corrugated sheets are used, but for that mere reason it is difficult to hold that the essential character of iron has been lost. Nor is the fact that the raw material and the articles resulting on processing that are sold under different and distinct names in the ....