2008 (1) TMI 853

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....r section 40 of the Kerala General Sales Tax Act, 1963 (hereinafter called, "the Act") challenging annexure VII order of the Commissioner of Commercial Taxes issued under section 59A of the KGST Act. The appellant was engaged in packing and marketing of "kattimoru" (thick buttermilk) and "sambharam". The product labels produced as annexures V and VI show that one item is thick buttermilk which is ....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....under any of the specific entries in the Schedule and therefore, he clarified that the items fall under the residuary items covered by entry 177 of the First Schedule to the KGST Act taxable at eight per cent. It is against this order that the appellant has filed this appeal. In order to appreciate the contentions raised, we have to refer to the relevant entries of the statute and for easy refe....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....nd "sambharam" is extensively diluted buttermilk. In other words, both are one and the same product and the variation is only in the water content. While kattimoru is concentrated buttermilk, sambharam is diluted form of buttermilk. The product description in annexures V and VI produced by the petitioner shows that the ingredients in kattimoru is thick buttermilk and in the other, namely, sambh....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....Legislature is very clear from the different rate of tax provided for different products. While milk products such as milk powder, ghee, cheese and butter covered by entry 92 attract tax at 12 per cent, value-added soft drinks like fruit juices, Horlicks, Bournvita, Boost, Complan, etc., attract tax under entry 144 at the rate of 20 per cent. The basic scheme is to identify the class of customers ....