2020 (6) TMI 548

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...., Hyderabad ( for short 'the Tribunal'). 2. The respondent in both these Revisions is a registered dealer under the Act and an assessee on the rolls of the Commercial Tax Officer, M.G. Road Circle, Hyderabad. 3. The respondent deals in sports goods including 'sports shoes' and 'sports apparel'. 4. On authorization by the Joint Commissioner (C.T.), Enforcement Wing, Nampally, Hyderabad, the D.C.T.O.-II Enforcement Wing, conducted audit and assessment for the Financial Years 2012-13 and 2013-14 and passed orders in A.O.No.30164 dt.04.08.2015. 5. Likewise, he also conducted audit and assessment for the Financial Year 2014-15 and passed orders in A.O.No.30165 dt.04.08.2015. 6. These orders were challenged by the respondent by filing appeal....

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.... 15. The Assessing Authority, i.e., the D.C.T.O.-II (Enforcement Wing) held that Entry 60 of IV Schedule deals with 'sports goods' and as the said entry excludes apparels and footwear, they would fall under the residuary entry under V Schedule. But, he did not give any reason why 'sports apparel' and 'sports shoes' do not fall in Entry 52 and Entry 46 of Schedule IV which deal with 'Ready-made Garments' and 'Moulded Plastic Footwear and Hawai Chappals and Straps thereof'. 16. The Appellate Deputy Commissioner took a different view that 'sports shoes' with multiple moulds do not come under Entry 46. He also held that 'sports apparel' cannot be equated with 'readymade garments' as they are specialized cloth wear used while playing sports an....

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....king a material change by treating 'sports shoes' as goods falling under residuary V Schedule, but not under Entry 46 of IV Schedule, as treated by them earlier. 19. It also referred to certificates issued by two suppliers of footwear vouching that sports shoes were made of only plastic, which evidence was not rebutted by the Department before the Tribunal. 20. It is also not denied by the Department that advance rulings issued by the Commercial Tax Department which were valid till 19.03.2013 considered 'sports shoes' made of pure plastic under Entry 46 of IV Schedule and were taxed at 5%. 21. The Allahabad High Court in Commissioner of Sales Tax vs. Fateh Chand Mahajan (1975) 36 STC 309 [Allahabad] held that 'sports shoes' are included ....