Law: Sales Tax Act, 1990

Section: 46,7,8(1)(a)

Sales Tax Act (VII of 1990)---Ss. 7, 8(1)(a) & 46---Appeal---Input tax---Claim for-Appellant being a manufacturer of cotton yarn, claimed input tax of certain goods for which he was not entitled due to the fact; that goods in question were not used for the manufacturing/production of taxable goods in terms of S.8(1)(a) of Sales Tax Act, 1990; or were prohibited claiming input tax vide Notification dated 12-6-1998---Said irregularity resulted in short payment of sales tax---Recovery of amount along with additional tax and penalty was ordered--Appeal had been filed by the appellant against said order---Collector (Appeals), after detailed discussion, had found that spare parts pertained to generators, but according to Notification only those generators, which had capacity of 250 KV or above were allowed for input tax---No clear cut distinction was shown by appellant that said spare parts were necessarily used in generators leaving capacity of 250 KV or above---No fault lay with the findings of the Collector (Appeals) in circumstances. JUDGMENT CH. FARRUKH MAHMUD, MEMBER (JUDICIAL):--This appeal has been directed against order in Appeal. No. 4 of 2006, whereby Order-in-Original No. 135 of 2006 has been upheld. 2. Briefly stated facts are that appellant is a manufacturer of cotton yarn, who claimed input tax of, certain goods for which he was not entitled due to the fact that goods in question were not used for the manufacturing/production of taxable goods in terms of section, 8(1)(a) of the Sales Tax Act, 1990, or were prohibited claiming input tax vide S.R.O. 578(I)/98, dated 12-6-1998. This irregularity resulted in short payment of sales tax amounting to Rs.5,62,243. On the basis of above facts, a show-cause notice was issued, and the matter when…

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