TaxTMI 
TaxTMI 
2026 (9) TMI 1366
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....evisionist.: Mr. Prakash Shah, learned Senior Counsel assisted by Mr. Rohit Arora, Mr. Mohit Rawal and Mr. Yuvraj Singh, learned counsel. Counsel for the Respondents.: Ms. Puja Banga, learned Standing Counsel for the State of Uttarakhand. COMMON JUDGMENT: (PER HON'BLE THE CHIEF JUSTICE SHRI MANOJ KUMAR GUPTA) 1. Heard Mr. Prakash Shah, learned Senior Counsel assisted by Mr. Rohit Arora, Mr. Mohit Rawal and Mr. Yuvraj Singh, learned counsel for the revisionist and Ms. Puja Banga, learned Standing Counsel for State of Uttarakhand. 2. Since all these revisions arise out of a common judgment of the Commercial Tax Tribunal, and involve an identical question of law, they are being decided by this common judgment. 3. The principa....
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.... 8. There is no dispute regarding the basic nature of the products. The Tribunal itself has recorded that Dr. Fixit Pidicrete URP (SBR Latex) and Dr. Fixit Super Latex (SBR Latex) are SBR Latex - a synthetic polymer derived from styrene and butadiene. It has further noticed that the products are synthetic rubber/ latex and are used, inter alia, as addition in concrete, mortar and grout and as waterproofing and bonding agents. Thus, the controversy essentially concerns the interpretation of Entry No. 96 of the Act. CONSIDERATION : 9. In our considered opinion, the Tribunal has approached the controversy from an unduly narrow perspective. The entire discussion in the impugned judgment proceeds substantially on the question, whether the....
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....intended to exclude a particular class of goods, it has expressly employed words of exclusion. For instance, Entry No. 103 [Entry No. 103: Solvent oils other than organic solvent oil] uses the expression "other than", Entry No. 114 [Entry No. 114 : Toys excluding electronic toys] uses the word "excluding", while Entry No. 117 [Entry No. 117 : Umbrella except garden umbrella] employs the expression "except". Entry No. 96, on the other hand, simply uses the words "rubber, raw rubber, latex, dry ribbed", without excluding synthetic rubber or synthetic latex. 12. This distinction cannot be regarded as insignificant. When the legislature has expressly provided for exclusion in other entries of the same Schedule, the absence of any such exclus....
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....of the Ministry of Commerce) under Item 150, in Section II, which relates to "rubber, raw and gutta percha, raw", synthetic latex including vinyl pyridine latex and copolymer of styrene butadiene latex are specifically included under the sub-head "Synthetic Rubber". We do not see any reason why the same policy could not have been followed in the ICT book being complementary to each other. When an article has, by all standards, a reasonable claim to be classified under an enumerated item in the Tariff Schedule, it will be against the very principle of classification to deny it the parentage and consign it to an orphanage of the residuary clause. The question of competition between two rival classifications will, however, stand on a different....
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....sonably answers the description contained in a specific entry, it ought not ordinarily be relegated to the residuary category. Equally well settled is the principle that the burden of establishing the classification sought to be applied lies upon the Revenue. Where the Revenue seeks to exclude a commodity from a specific entry, and bring it within a residuary Entry, attracting a higher rate of tax, it must first establish that the commodity cannot reasonably be brought within the specific entry. Resort to the residuary entry cannot be justified merely by placing a restrictive construction upon the specific entry. 17. In Kesharwani Enterprises v. State of Chhattisgarh, 2019 (28) G.S.T.L. 397 (Chhattisgarh), it was held that the Department....