C.No.l/42-STT/99, Dated 21st August, 1999.

I am directed to say that it appears from some press reports that there exist some mis-understanding about the effect of withdrawal of exemption from sales tax on "milk-based food preparations of PCT heading 19.01" through notification No.SRO.922(I)/99 dated 16th August, 1999. 2. It is clarified for information of all concerned that notification No SRO 198(I)/98 dated 28th March, 1998 had exempted milk-based food preparations of PCT heading 19.01. Later, this exemption was made a part of the Sixth Schedule to the Sales Tax Act, 1990, as Sl.No.3(xi) thereof through the amendments carried out vide the Finance Act, 1998 and the aforesaid notification No. SRO 198(I)/98 (whose content became a part of the Act) was consequently rescinded vide notification No. SRO 576(I)/98 dated 12th June, 1998. 3. Now, notification No. SRO 922(I)/99 dated 16th August, 1999 simply withdraws the aforesaid exemption of Sl.No.3(xi) of the Sixth Schedule to the Sales Tax Act, 1990, but does not interfere with the exemption granted on "fresh and dried milk, whether or not packed for retail sale (of respective PCT headings)" as it exists under Sl.No.3(iv) of the Sixth Schedule to the Sales…