TaxTMI 
TaxTMI 
2013 (8) TMI 868
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.... Case No. 80/03/Ind/Entry Tax. Brief facts giving rise to the petition are that the petitioner is a manufacturer of hair oil, edible oil, Mediker, starch and other products for sale in M. P. and is the registered dealer under the M.P. Commercial Tax Act, 1994 (Originally M.P.G. Sales Tax Act), and being a dealer is liable to be assessed under the M.P. Entry Tax Act, 1976 (hereinafter called "the E.T. Act") for brevity. The assessment years for the E.T. Act for the products "Mediker" and "starch" in the petition pertains to period April 1, 1999 to March 31, 2000 and for the same relevant period under the Commercial Tax Act, 1994 (hereinafter called "the C.T. Act" for brevity), "Mediker" was an item chargeable (including surcharge) at 6.9 ....
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....tarch" and not a chemical. In the assessment proceedings by respondent No. 3, Assistant Commercial Tax Officer agreed with the contention of the counsel for the petitioner. However, the contention was not acceptable under the Entry Tax Act and vide annexure P/2 respondent No. 3 has wrongly disallowed the claim for exemption under the E.T. Act. Being aggrieved by the order the petitioner had also filed revision before respondent No. 2, Additional Commissioner, Commercial Tax and respondent No. 2 upheld the order of respondent No. 3 vide annexure P/1. Respondent No. 2, however, treated Mediker as item of "drugs and medicine" chargeable at 6.9 per cent up to December 1999 and at 9.2 per cent for "starch" as "starch" and not as chemical under t....
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....r of State of Tamil Nadu v. M.K. Kandaswami [1975] 36 STC 191 (SC) to state that whether under the charging section the goods purchased are "goods for sale or purchase" of which is liable to tax under this Act has to be decided first, i.e., the touch stone is the charging section; and by exclusion or implication; goods, the sale and purchase of which it may be totally exempted from has to be considered in this light. More or less the same principle is enunciated in the matter of Commissioner of Income-tax v. B.C. Srinivasa Setty [1981] 128 ITR 294 (SC); [1981] 21 CTR 138 (SC). Further counsel relied on Commissioner of Income-tax, Bombay City v. Elphinstone Spinning and Weaving Mills Co. Ltd. [1960] 40 ITR 142 (SC) to state that if the wo....
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....counsel submitted that the genus has to be considered and expressions "other" and "and the like" "other" could not be equated to the words "similarly" as laid down in Grasim Industries Ltd. [2002] 128 STC 349 (SC). Counsel submitted that the apex court held in the matter of Tata Sky Ltd. v. State of M.P. [2013] 60 VST 1 (SC); [2013] 8 STD 1 that it is well-settled that if the collection machinery provided under the Act is such that it cannot be applied to an event, it follows that the event is beyond the charge created by the taxing statute and submitted that the E.T. Act could not apply beyond verge of the charging section. Counsel for the petitioner submitted that starch as well as Mediker has already been considered as being exempted ....
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.... and to the record and the impugned orders, we find that "Mediker" and "starch" admittedly having not been classified under the Entry Tax Act nor is it covered under Schedules I and II of the said Act. Then undoubtedly the charging section is to be taken into consideration and requires to be interpreted. The apex court held already directed that the goods may be charged under the charging section by exclusion or implication and in the present case it has to be considered on the touch stone of the charging section by implication. "Mediker" is basically a medicinal product but is used as shampoo, however, its period of treatment is four weeks and the shampoo is not used generally for washing hair and, therefore, the principle of ejusdem gener....