2012 (7) TMI 861

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

.... held that the petitioner has purchased plant and machinery for the purpose of expansion of unit, however, it did not pay the entry tax on the aforesaid unit because the petitioner purchased the following materials (annexure P/2) details of which, are as under: Total purchases     Rs. 1,17,49,44,192   Raw material, stores and spares, packing material, capital stores, fuel, etc. 1,17,49,44,192   Total deductions:       (1) Tax paid   6,12,05,646     spare parts 4,71,727       Chemical 43,48,450       Lubricant 4,89,578       Paint 9,799 &nbsp....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....bsp;         Rs. 41,19,23,578         ---------------------     Taxable 76,30,20,614       E.T. @ 1% 76,30,206       Deposit 77,23,304       Through challan 73,44,912       Through R.A.O. 3,78,392         -------------         77,23,304         -------------         Excess         Refundable           93,098 ....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

.... building activity." Similar principle has been reiterated by a Division Bench of this court in the case of Commissioner of Sales Tax, Madhya Pradesh v. Satna Cement Works, Satna [1984] 17 VKN2 60 wherein the Division Bench of this court has held as under: "That the building is expanded, it would only mean the building activity precedes the expansion of the business for which purpose the building is required. Therefore, the building materials, which were purchased for the construction of the building, cannot be said to be in the course of business of the assessee and the levy of purchase tax on the purchase of building materials was not justified." Hence, on the basis of aforesaid principle laid down by the Division Bench of this c....