TaxTMI 
TaxTMI 
2010 (5) TMI 763
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.... against form ST 15A and claiming deduction on it on account of sales to registered dealers. During the course of scrutiny of the assessment case, it revealed that the chemicals sold by the assessee are liable to be taxed at the first stage of sale as per entry No. 49 of the list of goods under the provisions of the Haryana General Sales Tax Act, 1973 (for brevity, "the Act"). Therefore, a show-cause notice was issued to the assessee on the ground that it has wrongly claimed the deduction of the said amount during the year under assessment. In pursuance of the show-cause notice, the assessee submitted the reply. The Assessing Authority, considering its reply, vacated/withdrew the notice and framed the final assessment, vide order dated Augu....
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.... court: "Whether the chemicals and enzyme chemicals used in softening the ready-made garments fall under the ambit of entry 49 of the notification dated June 5, 1992 issued under section 18 of the Haryana General Sales Tax Act?" We have heard the learned counsel for the parties and have gone through the relevant record and legal provisions with their valuable help. The main argument of the learned counsel for the assessee that only those chemicals are excisable/leviable to tax at the first stage when these are sold to a dealer for use by him in manufacturing or dyeing process of the textile and as the assessee sold the chemicals to the manufacturers and exporters of ready-made garments and registered trade dealer, therefore, the sa....
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....e articles are grouped together. When they are grouped together, each word in the entry draws colour from the other words therein as per the principle of noscitur a sociis. Sequelly, in Indian Eyelets Industries' case [1984] 55 STC 354 (Mad), while considering the entry 138 of the First Schedule to the Tamil Nadu General Sales Tax Act, 1959 it was noticed that "Fiksol-S. 69, an all purpose adhesive used for binding various surfaces such as leather, rubber, etc., though made of certain ingredients which are in the form of chemicals, cannot be treated to be a chemical by itself since the use of this adhesive for binding purposes cannot be said to produce any chemical effect or result in any chemical change. Therefore, it cannot be said....
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.... clear, implicit and there is no ambiguity in the language of the provisions, then it has to be literally construed and there is no need to look somewhere else to discover the intention or meaning, in view of the law laid down by the honourable apex court in case of Lt. Col Prithi Pal Singh Bedi v. Union of India AIR 1982 SC 1413. The learned State counsel has placed reliance on Full Bench judgment of the Madhya Pradesh High Court in case of Sukhu Ram Tamrakar v. State of Madhya Pradesh [1978] 41 STC 376, in which entry 25, Part II, Schedule II of the Madhya Pradesh General Sales Tax Act,1958 was considered and it was noticed that according to the common parlance, a "dye" is that article which can be used to impregnate tissue with colour....