Law: Sales Tax Act, (III of 1951)

Section: 7,7(1)

[Sales Tax Act, 1951(III of 1951)]......Section 7(1), read with items of Notification No.9, dated 27-6-1951-Exemption -Brass Water Fittings- Manufacture of 'Brass Water Fittings' exempt from sales tax under item 5 of Notification No.9, dated 27-6-1951-Goods manufactured amenable to some other use i.e. gas fittings-Whether changes the nature 01' character of the product-Held no-Whether continues to enjoy exemption 1101- withstanding different user of the goods-Held yes --Sales Tax Notification No.9, dated 27-6-1951, item 5. After going through the facts of the case as also the legal and factual positsons, we are of the opinion that it is common ground that the appellant was initially a manufacturer of brass water fittings and these comprised of articles like gate valves, brass cocks, unions etc. The same are made under British Standard. It is also a common ground that some of the articles manufactured by the appellant could be used other- wise than as water fittings and it was in this context that some of the sales were made, mostly of brass stop cocks and unions, to the Gas Companies. This, however, would not lead to the conclusion that the goods manufactured by the appellant are other "brass water fitting" which are admittedly exempt under item 5 of the Sales Tax Notification No.9 dated 27-6-1951. We find that it is not the responsility of the appellant if the brass water fittings manufactured by it are utilized by other purchasers or dealers or consumers for a different purpose or in a different manner than that for which the same are manufactured. This was precisely the ratio of the Indian High Court's decision relied upon by the appellant's learned counsel, The adaptability for the particular goods manufactured for a particular use cannot change the nature of the goods manufactured. The "brass water fittings" manufactured by appellant could not cease to be "brass water fittings" if the same were used otherwise it is not the appellant's concern as to the manner the same are utilized. On the basis of the admitted position that the appellant was initially a manufacturer of "brass water fittings" the nature of the goods produced by it cannot be changed if they…

Deprecated: trim(): Passing null to parameter #1 ($string) of type string is deprecated in /home/digixyei/sldsystempk.com/view/master-layout/view_case.php on line 492