2013 (3) TMI 587

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....d, Burhanpur) and W.P. No. 10942 of 2012 (Shree Venkatesh Industries v. Commercial Tax Officer, Khandwa) involving similar question for consideration of this court. As the detailed return has been filed in W.P. No. 7075 of 2010, for the convenience, we have taken facts from the aforesaid petition. The dispute in all the cases is whether the PVC resin or HDPE resin falls within the purview of chemical or chemical products. The Commissioner, Commercial Tax, Madhya Pradesh, Indore, by order dated April 20, 2010 has held that it is a chemical product and not a chemical, but, from the perusal of the aforesaid, we find that no departmental or independent expert opinion was sought to arrive the aforesaid finding, that the item in question fa....

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....orementioned facts and circumstances the claim of the petitioner regarding the classification of PVC granules and resins as chemicals the matter was decided that these goods cannot be classified as chemicals. The petitioner cited one judgment of the honourable Gujarat High Court wherein resins were classified within the polymer family of the chemicals. The petitioners also produced a report from the MSME, an organization dealing with small industries, which classified resins as chemicals. It is stated in the aforesaid report that petrochemicals are 'chemical products' made from raw material of petroleum or other hydrocarbon origin. Thus, the report itself speaks of 'chemical product' and not 'chemical'. The two terms....

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....of the taxing statute in respect of former commodity which comes within the purview of the taxing statute would be allowed to operate. In any event, such a question must be determined having regard to the expert opinion in the field. Similar view has been taken in the following judgments: (1) Commissioner of Income-tax v. Oracle Software India Ltd. [2010] 320 ITR 546 (SC). (2) Commissioner of Income-tax v. Emptee Poly-yarn P. Ltd. [2010] 320 ITR 665 (SC). (3) Morinda Co-operative Sugar Mills Ltd. v. Commissioner of Income-tax, Chandigarh [2013] 354 ITR 230 (SC); [2012] 210 Taxman 237. In this case, it is not in dispute that no expert opinion was obtained by the Department before deciding the question involved in the matter and t....