TaxTMI 
TaxTMI 
2015 (10) TMI 46
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....e said order of assessment, the assessee preferred an appeal before the Joint Commissioner of Commercial Tax (Appeals), Davanagere Division, Davanagere, who dismissed the said appeal on the ground that the assessee has not produced any documents in support of his claim that the said compactor is a motor vehicle, is registered under the Motor Vehicles Act, 1988. Aggrieved by the said orders, the assessee preferred a second appeal before the Karnataka Appellate Tribunal (for short, "the KAT"). At the time of arguments, the assessee did not produce any evidence showing that the compactor is registered under the Motor Vehicles Act but only produced the purchase bill. The KAT relying on the judgment of the apex court held that the compactor is a "motor vehicle" and not a "machine" as contended by the Revenue and therefore, it is not liable to tax under the KTEG Act. Aggrieved by the said order, the present revision petition is filed. 3. The learned Government Advocate assailing the impugned order contended that this court in the case of L & T Case Equipments Private Ltd. v. Commissioner of Commercial Taxes [2014] 71 VST 533 (Karn) in STRP No. 30 of 2010 and other connected matters deci....
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....falling under other items of this entry and those specified elsewhere." 8. The question which arose for consideration in those two judgments is, whether the vibratory compactor falls under Part M(1)(i)(a) or Part M(1)(iii)(a) ? 9. In that context, it was held in the L & T Case Equipments Pvt. Ltd. [2014] 71 VST 533 (Karn) as under (page 535 in 71 VST): "7. On going through the submissions made at the Bar, we do not find any good reason to reject the contention of the petitioner. Because, the vibratory compactor does the function of putting waste vertically into the ground. Counsel for the petitioner has produced copy of the notification dated March 31, 1993 under the KST Act. In the said notification, the vibratory compactor has been classified as earth moving equipment. However, it is the contention of the respondent that the said notification has been withdrawn. It is to be noted that withdrawing of the notification would be of no consequence, when it was the stand of the Government in the notification dated March 31, 1993 that vibratory compactor has been classified as earth moving machine. Therefore, it is the understanding of the Government that vibratory compactor is an ea....
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....e levied and collected a tax on (entry of any goods specified in the First Schedule) into a local area for consumption, use or sale therein, at the rates prescribed in the notification issued by the Government. Chapter IIA contains definitions. Section 4A(d) defines a "motor vehicle", which reads as under: "'Motor vehicle' means a motor vehicle as defined in clause (28) of section 2 of the Motor Vehicles Act, 1988." 14. Therefore, we have to look into the Motor Vehicles Act, 1988 to under stand the meaning of "motor vehicles" as defined under section 4A(d). 15. Section 2(28) of the Motor Vehicles Act, 1988 defines "motor vehicle" or "vehicle" as under: "'motor vehicle' or 'vehicle' means any mechanically propelled vehicle adapted for use upon roads whether the power of propulsion is transmitted thereto from an external or internal source and includes a chassis to which a body has not been attached and a trailer; but does not include a vehicle running upon fixed rails or a vehicle of a special type adapted for use only in a factory or in any other enclosed premises or a vehicle having less than four wheels fitted with engine capacity of not exceeding (t....
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....nery). If we read these two notifications, keeping side by side, the understanding of the State is earth movers, dumpers, dippers, bulldozers and the like and adopted for uses on road do not fall within the meaning of the word machinery (all kinds). 19. The apex court had an occasion to consider this question arising under the provisions of the Kerala Tax on Entry of Motor Vehicles into Local Areas Act, 1994, where it is held as under (pages 617 and 618 in 121 STC): "6. Section 2(j) of the Act defines 'motor vehicle' to mean a motor vehicle as defined in section 2(28) of the Motor Vehicles Act, 1988 (Central Act 59 of 1988). Subject to the provisions of the Act, section 3 of the Act enables the levy and collection of tax on the entry of any motor vehicle into local area for use or sale therein which is liable for registration in the State under the Motor Vehicles Act at such rate as may be fixed by the Government. Therefore, in order to attract tax under the provisions of section 3 of the Act, a motor vehicle must have entered into a local area for use or sale therein and secondly which is liable for registration under the Motor Vehicles Act. 7. We hold that the excavato....