TaxTMI 
TaxTMI 
TaxTMI 
2016 (7) TMI 627
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....(2) of the Gujarat Value Added Tax Act? [B] Whether the Honble Tribunal has erred in holding that oil cooler for wheel loader is covered by entry No.35 of notification issued under section 5(2) of the Gujarat Value Added Tax Act? [C] Whether the Honble Tribunal has erred in holding that oil cooler for soil compactors is covered by entry No.35 of notification issued under section 5(2) of the Gujarat Value Added Tax Act?" 2. Briefly stated the facts are that the respondent assessee had filed an application before the competent authority seeking opinion in terms of section 80 of the Gujarat Value Added Tax Act, 2003 (hereinafter referred to be called as "the VAT Act") regarding the assessee's different types of oil coolers in which the ....
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.... VAT Act which provides that sale means the sale of goods made within the State for cash or deferred payment or other valuable consideration and includes inter alia in clause (b) transfer of property in goods whether as goods or in some other form involved in execution of a works contract. Term works contract is explained in explanation clause (ii) which provides that for the purpose of clause (b) expression works contract means a contract for execution of works and includes such works contract as the State Government may by notification in official gazette specify. The fact that the equipments in question were being used for execution of a works contract is not even disputed by the Government. The sole dispute is whether they would be mach....
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....lity reported in AIR 1922 P.C. 27. Likewise, in the case of Vicas Tractors (supra), Division Bench of this Court considered the question whether a tractor can be considered an agricultural machinery. It was observed that whenever a question arises whether a tractor is an agricultural machinery or an industrial machinery or machinery of any other type, the question must be answered by reference to its design, mechanism, distinct features and special adaptability, if any, to any particular use out of the diversity of uses to which a tractor is capable of being put. 10. Bearing in mind said principles and considering the nature of construction equipments, we have no hesitation in upholding the Tribunal's view that these were machineries u....
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....vehicle or attached or mounted to a motor vehicle. By implication therefore, till this amendment even the legislature considered a motor vehicle as part of entry 35 if otherwise satisfied the description of being machinery used for works contract. Unless and until this amendment is treated either as declaratory or clarificatory, its significance would be that till these words were added in the statute, any motor vehicle which otherwise fulfilled description of being machinery used in execution of works contract, would be covered under entry 35. This amendment in plain terms is neither declaratory nor clarificatory; nor is given retrospective effect either specifically or by necessary implication. This would be one more ground to reinforce o....
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....s been extended by the amendment to a specific kind of mineral and was introduced for the first time in 199. If we were to hold that the word minerals in Subsection 2(b) never included processed minerals then the 1991 Amendment excepting processed minerals from the exclusionary effect of the sub section would be rendered meaningless and an exercise in futility. 14. Every statute if prima facie prospective unless it is expressly or by necessary implication made to have retrospective operation [See: Keshavan v. State of Bombay MANU/SC/0020/1951: 1951 Cri.LJ 680]. There is nothing in the wording of the 1991 amendment to suggest that it was to operate retrospectively. Apart from the lack of any express words indicating such intention, there i....
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....when the term 'machinery' by a specific amendment excludes a motor vehicle, any part or accessory thereof would get automatically excluded. Quite apart from the plain interpretative process which would lead us to this conclusion, we must give due importance to the very entry no.35 which is coined in an inclusive phraseology. Machinery including parts and accessories are brought within this entry. Now that by virtue of amendment with effect from 15.2.2010, the term 'machinery' itself is made to exclude a machinery in form of motor vehicle or attached or mounted to a motor vehicle, its parts and accessories which were hither to included in the term 'machinery' for the purpose of entry no.35, would automatically stand e....