2023 (5) TMI 970

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

.... 168/2018 passed by the KAT [Karnataka Appellate Tribunal], Bengaluru, has been admitted to consider following questions of law: 1) In the facts and circumstances of the case, whether the Hon'ble Tribunal was right in holding that the 'photo identity cards' sold by the Petitioner does not merit classification under Entry 71 of Schedule III to the Karnataka Value Added Tax Act, 2003; 2) Whether the Hon'ble Tribunal was right in holding that the 'photo identity cards' sold by the Petitioner are instead under the residuary category under Section 4(1)(b)(iii) of the Karnataka Value Added Tax Act, 2003; 3) Whether the Hon'ble Tribunal was right in holding that only the specific goods mention....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....nd laminating the card; • photo identity cards being printed material other than books meant for reading, merit classification under Entry 71 of Schedule III to the KVAT Act; • Entry 71 has two parts. While, the first part relates to Printed material (other than books meant for reading), the second part relates to stationery articles. Therefore, Entry 71 must be read disjunctively; • the term 'printed material' is not defined under the KVAT Act and hence dictionary meaning must be borrowed to understand the nature of said product; • the raw material in the case of 'photo-identity card' is undisputedly a plastic sheet which undergones a process of cutting to requisite size, ....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

.... specifically mentioned in any Entry under the KVAT Act. Therefore, they do not fall under any specific Entry. With these submissions, he prayed for dismissal of this petition. 7. We have carefully considered rival contentions and perused the records. 8. In substance, assessee's case is, all printed materials with the exception of books meant for reading fall within the scope of Entry 71 of Schedule III to the KVAT Act. 9. Revenue's case is, photo identity cards are custom made based on the requirements of the customers. They are not specifically mentioned in the KVAT Act and therefore, they do not fall within the ambit of Entry 71 of Schedule III to the KVAT Act. 10. Entry 71 of Schedule III of the KVAT Act reads thus: ....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....hich reads as follows: "1. This Chapter does not cover: (a) photographic negatives or positives on transparent base (Chapter 37); (b) maps, plans or globes, in relief, whether or not printed (heading 9023); or (c) Playing cards or other goods of Chapter 95" 15. Thus, it is clear that the Parliament has excluded only certain items and Photo identity card is not one such excluded item. 16. It is settled that if an item is cleared under a particular tariff, by the Central Excise Authority, the same is not disputable by the VAT Authorities. (See: Samsung India Electronics Pvt. Ltd V/s. State of Gujarat 2020 (2) TMI 1247 (Guj) (Paras No.25 & 28)). 17. Therefore, the principal contention urged by the R....