TaxTMI 
TaxTMI 
2018 (12) TMI 1743
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....Nos.1,1,1,1,1,1 & 1 of 2015, WP(MD)Nos.23284 to 23290 of 2015 WMP(MD)Nos.231 to 234 of 2016 in WP(MD)Nos.307 to 310 of 2016 For the Petitioner : Mr. R.D. Ganesan For the Respondent : Mr. Aayiram K. Selvakumar, Additional Government Pleader ORDER In all these writ petitions, pre-revision notices and assessment orders are under challenge. The issue that is raised in all these writ petitions is one and the same. The petitioners are dealers in pulses, grams and chillies. They have purchased them from vendors whose turn over admittedly does not exceed Rs. 5,00/- crores in an assessment year. After effecting such purchases, the petitioners have transferred the goods to other States to their branches/agents for making consignment sales....
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....pointed contention of the petitioners counsel is that even though the goods on hand can be brought within the purview of Entry No.41 Part B of the First Schedule, applying the general principle of law that the special will prevail over the general, the goods in question will have to be necessarily treated as exempted goods. In this regard, the learned counsel appearing for the petitioner placed reliance on the decision of the Hon'ble Himachal Pradesh High Court reported in (2007) 7 VST 609 (HP) (Dass Enterprises vs. State of Himachal Pradesh). The Hon'ble Himachal Pradesh High Court in the said decision held that where there is a general entry and specific entry, it is the specific entry that will prevail. 5.I am respectfully fol....
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....ding provision set out in the Madras General Sales Tax can be invoked only if the following ingredients are cumulatively satisfied. They are as follows : (1) The person who purchases the goods is a dealer; (2) The purchase is made by him in the course of his business; (3) Such purchase is either from "a registered dealer or from any other person". - 4) The goods purchased are "goods, the sale or purchase of which is liable to tax under this Act." (5) Such purchase is "in circumstances in which no tax is payable under section 3, 4 or 5 as the case may be", and (6) The dealer either - (a) consumes such goods in the manufacture of other goods for sale or otherwise or (b) despatches all such goods in any manner other ....
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....no tax is payable by that registered dealer on the sale price of such goods under this Act, and either - (a)consumes or uses such goods in or for the manufacture of other goods for sale or otherwise; or (b)disposes of such goods in any manner other than by way of sale in the State; or (c)despatches or carries them to a place outside the State except as a direct result of sale or purchase in the course of inter-State trade or commerce or in the course of export out of the territory of India; or (d) installs and uses such goods in the factory for the manufacture of any goods, shall pay tax on the turnover relating to the purchase aforesaid at the rate specified in the Schedules to this Act. (2) Not....
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....ew my attention to Section 15 of the Act. It states that sale of goods specified in the Fourth Schedule and the goods exempted by Notification by the Government by any dealer shall be exempted from tax. The petitioners' contention would be that nothing more is required to establish the exempted nature of the goods in question. 11.The IV Schedule is in two parts. Part A and B. Part A has been omitted by Tamil Nadu Act No.30 of 2011. There is only Part B now. There are as many as 81 Entries in part B. If one runs through the various entries, it can be seen that Entry 1(i) to Entry 64(A) refer only to goods. In other words, goods alone are described and mentioned and nothing else. But, Entries 65, 66, 67, 68 refer to sale transactions. ....
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....ld be liable to pay tax. 13.I am of the view that if this distinction as highlighted by the Hon'ble Supreme Court is borne in mind, pulses and grams are not exempted goods as such. What is exempted is only the transaction of the sale which is provided by the dealer whose turn over does not exceed Rs. 500/- crores in a year. Coming back to Section 12(1) of the TNVAT Act, the language is very clear. For the said provision to apply, a sale or purchase in respect of the goods must be liable to tax. The goods on hand can obviously be not brought within the scope of Entry 41 of Part B of First Schedule only because of the specific entry, namely, Entry 68 in Part B of the IV Schedule. They are not levied with tax in the turn over of the sel....