2006 (8) TMI 534

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....ed in these tax revision cases is whether nylon fishing net fabric is liable to be assessed under entry 129 of the First Schedule to the Kerala General Sales Tax Act, 1963 up to April 1, 1992 and thereafter under entry 89 of the First Schedule or whether the item is entitled to exemption under entry 7 of the Third Schedule to the KGST Act which entry was later renumbered as entry 11 of the very sa....

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....een from the copy of the notification produced in court that the Government issued the clarification on application for sales tax exemption by a section of manufacturers and dealers of nylon fish net including Matsya Fed, an organisation under Government control. When the parties sought for exemption, Government felt that no exemption was required as the item falls under the Third Schedule to the ....

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....c covered under entries 54.08, 54.09 of the Central Excise Tariff Act. On going through the Central Excise Tariff Act, we find nylon yarn is treated as man-made filament yarn. Therefore nylon net fabrics made of nylon yarn are man-made fabrics covered by entry 54.08 of the Central Excise Tariff Act. There is some controversy as to whether the item is nylon net or nylon net fabric. We do not think ....

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....r the court to rely on the circular of the Government above referred for the purpose of declaring exemption in favour of the assessees. Moreover it has to be noted that Government's clarification above referred is issued on application for exemption and going by the contents of it, we are of the view that but for the clarification issued above, the Government would have issued exemption notifi....