2018 (12) TMI 1

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....all the above revision petitions are similar, therefore, all the revision petitions are decided by common judgment. For consideration by this Court the revisionist has referred the following questions by stating that the same are questions of law which are to be decided by this Court. In the revision petitions related to U.P. Trade Tax Act following questions are referred:- "A. Whether the Tribunal was legally justified in holding the goods manufactured by the applicant is not a textile exempted under the Act by virtue of Notification No. 7038 dated 31.01.19985 but Tapes/Laces covered by Notification No. 2376 dated 23.11.1998 only the basis of common parlance meaning without even taking on record the opinion of the people who are conversant with it and dealing with the said goods? B. Whether the Tribunal was legally justified in permitting the revenue to take different stands on the same issue in view of the full bench judgment of the Hon'ble Apex Court in the case of C.C.E. Mumbai Vs. M/s Amar Bitumen & Allied Products Pvt. Ltd. (supra)? C. Whether the Trade Tax Tribunal was legally justified in taking a different view from that taken by the ot....

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....rial Development Authority Vs. C.T.T. (supra)? D. Whether the Tribunal was legally justified in deciding the classification issue only on the basis common parlance meaning when cotton fabrics has been defined under the Central Sales Tax Act in view of the judgment of the Hon'ble Apex Court in the case of Indo International Industrial Vs. Sales Tax Commissioner, U.P.? E. Whether the Tribunal was legally justified in rejection the applicant's claim of stock transfer without even examining each and every transaction in view of the Hon'ble Apex Court judgment in the case of M/s Tata Engineering & Locomotive Co. Ltd. Vs. Assistant Commissioner, Commercial Taxes (supra)? F. Whether in the facts and circumstances of the case, the Tribunal was legally justified in confirming the rejection of account books as well as the enhancement of turnover on the basis of the survey report dated 10.03.1998, which does not contains any evidence of suppression of turnover etc. as admitted by the assessing authority in the assessment order for the year 1997-98?" Brief facts of the case are that the revisionist-assessee was a limited company and was engaged in manu....

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....assessing authority while passing the orders under Section 9(2) read with Section 30 of the Central Sales tax Act. For the perusal, the extract of the above relevant notifications are necessary to be incorporated:- "-: English translation of Vitta Bikri-kar Anubhag-2, Noti. No. S.T.-2-7038/X-7 (23)/83-U.P. Act XV-48-Order-85, dated 31st January, 1985, published in U.P. Gazette, Extraordinary, dated 31-1-1985. (53) Textiles of the following varieties manufactured on powerloom, excluding durries, carpets, druggets, hosiery goods, readymade garments, hessian or jute cloth and cotton, rayon or nylon, tyre cord fabrics, tyre cord or tyre cord warp sheets, and PVC/HDPE fabrics, but including the goods specified in Annexure hereunder:- a. cotton fabrics of all varieties; b. rayon or artificial silk fabrics, including staple fibre fabrics, of all varieties; c. woollen fabrics of all varities; d. fabrics made of a mixture of any two or more of the above fibres, viz. Cotton, rayon, artificial silk, staple fibre or wool; e. Canvas cloth, tarpoulins and waterproof cloth. -: English translation of Vitta (Bikri-kar) Anubh....

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....s treating the NWF sold by the revisionist as 'Tapes and Niwar' covered by notification no. 1551 dated 26.05.1997 and notification no. 2376 dated 23.11.1998 respectively. Aggrieved by the assessment orders, the revisionist preferred the appeals before the First Appellate Authority, the Joint Commissioner (Appeals) 1st, Trade Tax, NOIDA. The Joint Commissioner (Appeals) by his common order dated 23.05.2006 has rejected all the eight appeals, filed by the revisionist, by upholding the order of the assessing authority. For the perusal, the relevant finding recorded by the First Appellate Authority are necessary to be placed:- Aggrieved by the order passed by the Joint Commissioner (Appeals) Second Appeals are filed by the assessee before the Trade Tax Tribunal, which have been decided and are dismissed by the Tribunal by its common judgment and order dated 21.09.2006, by which the Tribunal has affirmed the orders passed by the Assessee Authority as well as the First Appellate Authority, hence the present revisions. Learned counsel for the revisionist has submitted that at the time when the revisionist company manufactured the NWF it falls within the ambit of &#3....

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....e of being different or diverse, 2. (a variety of) a number of things of the same general class that are distinct in character or quality, a thing which differs in some way from others of the same general class; a type. Bilowya subspecies or cultivar. 3. a form of entertainment consisting of a series of different types of act, such as singing, dancing, and comedy. Origin C 15: from Fr. Varities or L. Varities, from various (see Various)." Thus, different varities of "cotton fabrics" are exempted from the tax under the Act, 1948. Textile fabrics impregnated, coated, covered or laminated with PVC (Polyvinyl Chloride) are treated as textile fabric." Learned counsel for the revisionist has placed reliance on a judgment of this Court in the case of Commissioner Trade Tax U.P. Lucknow Vs. Moti Lal Dali Chand Pvt. Ltd. (2009) 21 VST 191 (Allahabad). The above case referred arises out of the order passed by the Tribunal, by which the Tribunal has held that 'NWF' and Braided Cords Fall under the category of Textiles and as such are exempted from payment of tax. Learned Single Judge in the case of Moti Lal Dali Chand (supra) has considered the relevant noti....

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....d as narrow woven fabrics but are known as lace and tape. This findings is merely based on the personal opinion of the appellate authority and members of Tribunal, without any evidence on record to show how the goods manufactured by applicant are known in market. Reliance in this regard is placed of Apex Court decision in the case of Commissioner of Customs Vs. Jaya Satya Marine Exports (P) Ltd. (2001) 9 SCC 765, wherein in para 7, Apex Court has held that in absence of evidence on record, judicial notice cannot be taken as to how a product is known in common parlance. Learned counsel for the revisionist has also placed reliance of a judgment of the Supreme Court in the case of Commissioner of Central Excise, New Delhi Vs. Kanaut Plaza Restaurant Pvt. Ltd, New Delhi. Particularly para 20, 33 and 36 are referred which are relevant and the same are reproduced herein below:- "20. Time and again, the principle of common parlance as the standard for interpreting terms in the taxing statutes, albeit subject to certain exceptions, where the statutory context runs to the contrary, has been reiterated. The application of the common parlance test is an extension of th....

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....re of a product in terms of how it is perceived by persons in the market, when the issue at hand is one of excise classification." At the end learned counsel for the revisionist has submitted that in the case of sister concern of the revisionist company, which was also engaged in manufacturing the same products i.e. NWF for assessment year 1997-98 the Tribunal by its order dated 19.11.2005 has held that NWF is exempted from payment of tax. Per contra, learned Standing Counsel has placed reliance the contents of the assessment order and finding recorded by the assessing authority. The relevant extract of the assessment order is reproduced herein below. Learned Standing Counsel therefore has submitted that from the perusal of the assessment order, it is clear that goods namely 'NWF' manufactured by the revisionist is from Polypropeline Multi Filament (PPMF), which is commonly made of plastic and is Niwar therefore is liable to be taxed in view of the notification no. 1551 dated 26.05.1997 as well as notification no. 1376 dated 23.11.1998. According to the learned Standing Counsel under Section 14(iia) of the Central Sales Tax Act, the commodity is 'Cotton Fabr....

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....o interference by this Court. No question of law is involved and therefore the questions of law referred by the assessee and decided against the assessee. So far as the revision filed against orders related to the Central Sales Tax Act, by which orders all the authorities below rejected the claim of the revisionist with regard to the Stock transfer, I am of the opinion that after due consideration and examination of the record, related to each transaction, the assessing authority rightly arrived at a conclusion to hold that the survey team has recovered various documents, which are seized, which clearly discloses that the claim of the revisionist is fictious and is unacceptable. It is noticed by the S.I.B. Survey Authorities that on the packing material the name (in short) of the purchaser was mentioned which clearly establishes that when the goods are dispatched, the revisionist was aware about the details of its purchaser. The autorities below including the Tribunal have arrived at the conclusion that it is not the stock transfer but is a sale against the orders which are received by the revisionist from the buyers in advance. In view of the aforesaid facts, no questi....

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....ार कर अधिनियम के अंतर्गत केबल टैक्सटाईल विज्ञापित श्रेणी ही करमुक्त है। किसी वस्तु को फैब्रिक के रूप में सामान्य करमुक्ति नहीं दी गयी है। टेप की निवाड़ या लेसिज चाहे वे किसी भी प्रकार से बनी हों उन पर उत्तर प्रदेश व्यापार कर अà....

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.... पेज-286 में इस बिन्दु पर विस्तार से विवेचन किया है कि किसी भी वस्तु की तकनीकी संरचना या बनावट से करदेयता न हो कर व्यापारिक जगत में जिस नाम से जाना जाता है उसी से करदेयता होगी। इसी प्रकार माननीय सर्वोच्च न्यायालय ने कलेक्टर आफ कस्टà¤....

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....¿à¤¶à¥à¤¨à¤°, सेल्स टैक्स -1981-यूपीटीसी-481 का निर्णय दिया है। माननीय सर्वोच्च न्यायालय ने सर्वश्री पप्पू स्वीट एंड बिस्कुट बनाम आयुक्त व्यापारकर- 1998-एनटीएन - वाल्यूम-13-पेज-721 के निर्णय में यह कहा कि वैज्ञानिक मीनिंग और डिक्शनरी के अर्थ से करदेयà....

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....क्ता ने जो निर्णय सर्वश्री पोरटिस एंड स्पेन्सर (एशिया) लि० का दिया है वह डायर फेल्ट के संबंध में विवेचन व निर्णय है। और इस संबंध में अपीलकर्ता की निर्मित वस्तुओं पर कोई विवेचन नहीं है। अपीलकर्ता की वस्तुएँ टैक्सटाईल की श्रेणी मà¥....

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....¤°à¤¿à¤•à¤¾à¤¨à¤¾à¤ˆà¤²à¥‹à¤¨ फिशनेट फैब्रिक पर निर्णय दिया गया है। यह वस्तु अपीलकर्ता नहीं बनाते हैं। है जो द्वितीय अपील व्यापारकर अधिकरण, नोएडा की द्वितीय अपील संख्या-23/04 व 24/04 वर्ष 97-98 के निर्णय का संदर्भ दिया गया है उसमें अपीलकर्ता की वस्तु पर कोई व....

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....¥‡ जाने के आधार पर पिछले वर्षों को आधार नहीं बनाया गया जा सकता। उल्लेखनीय है कि काटन फैब्रिक्स को केन्द्रीय अधिनियम 1956 की धारा-14 के क्लाज (lla) के अंतर्गत सैन्ट्रल एक्साईज टैरिफ एक्ट-1985 के शिड्यूल में हैडिंग नं0 52.05, 52.06, 52.07, 52.08, 52.09, 52.10. 52.11, 52.12, 58.01, 58.02, 58.03, 58.04, 58.05, 59.01, 59.03, 59.05, 59.06 एà....

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....…ंतर्गत नहीं आती और 58.6 हैड की वस्तु को फैब्रिक नहीं माना गया और कर मुक्ति नहीं दी गयी। अपीलकर्ता द्वारा निर्मित वस्तु ओलीलोन निवाढ पायी गयी जो लिये गये नमूनों पर लगे हुए टैग पर लिखे नाम से भी स्पष्ट है। दूसरे अपीलकर्ता ने इस वस्तà....

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....¶à¥à¤°à¥€ फाइबर लिंक्स, कानपुर के वर्ष 1989-90 के बाद में मा० व्यापार कर अधिकरण के निर्णय में यह उद्धरित किया गया है कि ब्रेडेड कार्ड 'कार्ड सिम्प्लीसिटर नहीं है और केवल वही कार्ड करयोग्य है, जो बांधने या कपड़ा सुखाने के लिए उपयोग में आते होà....

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....¤•à¤°à¤¦à¥‡à¤¯à¤¤à¤¾ की स्थिति स्पष्ट करने का अनुरोध किया गया था। उपरोक्त के सम्बन्ध में आप द्वारा प्रेषित आख्या के परिप्रेक्ष्य में प्रकरण शासन को संदर्भित किया गया था। शासन स्तर पर प्रमुख सचिव, कर एवं निबन्धन की अध्यक्षता में दिनांक 30 अपà¥....

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....‡ निर्णय के विरुद्ध रिवीजन मा0 उच्च न्यायालय द्वारा अस्वीकार किया गया है। अतः अधिकरण का निर्णय अन्तिम हो चुका है। इसलिए वर्तमान में इस पर कोई कर देय नहीं है। कृपया शासन के उपरोक्त निर्देशों से अपने अधीनस्थ कर निर्धारक अधिकारियà¥....

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....¤œà¤®à¤¾ नहीं किया गया है। यह वस्तु व्यापार कर अधिनियम के अन्तर्गत कर मुक्त नहीं है क्योंकि यह प्लास्टिक से बने हुये टेप अथवा सक्री निवाड है जिस पर 2.5% की दर से कर देयता है। इस पर कर मुक्ति के संबन्ध में कोई विविधक अथवा तथ्यात्मक साक्ष्य à¤....

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....•à¤¿ वर्ष-2001 में उनकी फैक्ट्री बन्द हो गयी थी तथा यू० पी० एफ सी ने बेच दी थी। इस कारण वश कुछ रिकार्ड मिल नहीं पा रहे हैं। व्यापारी का यह उत्तर संतोषजनक नहीं है। तथ्य यह है कि वाद की सुनवाई के समय कच्चे तथा तैयार माल के स्टाक रजिस्टर प्रसà....