In other words, the assessee was sought to be reassessed both for purchase turnover of field latex and for sales turnover of centrifuged latex, both under the 1963 Act and under the 1956 Act.
16/98 issued by the Board of Revenue has remained in force.
Similarly, with regard to inter State sales of centrifuged latex, the Department alleged that the benefit of exemption taken by the assessee under the above two exemption Notifications was number admissible on the ground that the field latex purchased in Kerala and the centrifuged latex sold inter State were two different companymodities and, accordingly, the KGST paid by the assessee on the field latex was number sufficient to claim exemption for CST on the sale of centrifuged latex.
In respect of its sales turnover, respondent is an assessee under Kerala General Sales Tax Act, 1963 1963 Act as well as under the Central Sales Tax Act, 1956 1956 Act .
Similar returns were filed by the assessee for 1998 99 onwards.
16/98 dated 28.5.1998 issued by the Board of Revenue reads as follows CIRCULAR No.
The Department also reopened the assessments on the ground that the assessee had taken the field latex out of Kerala to its factory in Tamil Nadu and had brought it back as centrifuged latex and, therefore, the assessee was liable to sales tax on the sales turnover of centrifuged latex under Entry 110 a ii on the ground that the assessee had sold centrifuged latex brought from outside the State of Kerala.
16/98 Dated 28.5.1998 Sub KGST Act 1963 Conversion of field latex into Centrifuged Latex Impact of the decision of Honble High Court in Padinjarekara Agencies Limited Vs.
The returns filed by the assessee were accepted by the AO vide Order dated 14.5.2001 under the 1963 Act and vide assessment order dated 31.5.2001 under the 1956 Act.
For the assessment year 1997 98, with respect to centrifuged latex sold locally, the assessee furnished Form No.
As per numberification SRO 1003/91 exemption was granted, inter alia, in respect of the tax payable by Small Scale Industrial Units on the purchase of rubber for use in the manufacture of rubber goods subject to the companydition that tax is levied on the products manufactured out of such rubber.
With respect to inter State sale of centrifuged latex, the assessee paid the tax under the 1963 Act on the purchase of field latex and claimed exemption in respect of Central Sales Tax CST under Notification SRO 1731/93 read with SRO 215/97.
By the impugned judgment, the writ petition filed by the assessee stood allowed, hence, these civil appeals are filed by the Department.
16/98 dated 28.5.1998 for short the said circular issued by the Board of Revenue under Section 3 1A c .
It has number been withdrawn till today.
Commissioner Assmt clarification issued.
Accordingly, the Department proposed to assess the entire purchase turnover of field latex in the hands of the assessee under Entry 110 a i on the ground that the centrifuged latex obtained by processing field latex is a different companymodity and, accordingly, the assessee was the last purchaser of field latex within Kerala.
It needs to be clarified that the judgment of the Kerala High Court in Padinjarekara case supra related to assessment years 1983 84 to 1986 87 during which time Entries 38 and 39 were in force whereas in the present case, we are companycerned with the assessment years 1997 98 and 1998 99 when Entry 110 was in force.
purchased within the State At the point of last purchase in the State by a dealer who is liable to tax under section 5 brought from outside the State At the point of first sale in the State by a dealer who is liable to tax under section 5 Reclaimed rubber, all grades and qualities do c Synthetic rubber do Circular No.
25, declaration from the companycerned buyers, and claimed exemption from payment of tax on the purchase Turnover of field latex raw rubber .
Thereafter, the centrifuged rubber is sold by the assessee either locally in Kerala or inter State.
Aggrieved by reopening of assessments, respondent assessee herein moved the High Court under Article 226 of the Constitution for quashing the orders of reassessments inter alia on the ground that they were companytrary to the said circular No.
946/2007 dated 13.11.2007 reads as follows R.O.No.946/2007. ?
16/98 issued by the Board of Revenue Taxes .
CIVIL APPEAL NOS.
Description of goods Point of Levy Rate of tax per cent Rubber, that is to say a raw rubber, latex, dry ribbed sheet of all RMA Grades, trees, lace, earth scrap, ammoniated latex, preserved latex, latex companycentrate, centrifugal latex, dry crepe rubber, dry block rubber, crumb rubber, skimmed rubber and all other qualities and grades of latex.
7965 7966 OF 2004 KAPADIA, J. M s Kurian Abraham Pvt.
Ltd. assessee is engaged in the business of buying rubber, processing the same and selling the processed rubber.
Assessee purchases field latex raw material in Kerala, but, since its processing factories are in Tamil Nadu, it transports field latex to Tamil Nadu for processing into centrifuged latex and returns it back into Kerala.
