STATE OF ANDHRA PRADESH Vs. CONCAP CAPACITORS BALANAGAR

JUDGEMENT

(1.) LEAVE granted.

(2.) THIS appeal is filed by the State of Andhra Pradesh and Anr. ('Revenue' for short) against common judgment and order dated August 31, 2005 in several Revisions. By the impugned order, the High Court allowed Tax Revision Cases (TRC) filed by manufacturers, dealers and traders ('assessee' for short) and held that 'Capacitors' is one of the items of 'electronic goods' or components, taxable at a concessional rate of tax under the Andhra Pradesh General Sales Tax Act, 1957 (hereinafter referred to as 'the State Act') as also under the Central Sales Tax Act, 1956 (hereinafter referred to as 'the Central Act').

(3.) BEING aggrieved by the orders passed by the Tribunal, the assessee approached the High Court of Andhra Pradesh by filing Revisions. The High Court, on consideration of relevant provisions of law as also various G.O.Ms. and referring to several decisions, held that from the relevant material, it was clearly established that 'Capacitors' would fall under the category of 'electronic goods' and the Tribunal was wrong in upholding the contention of Revenue that the item could not be said to be electronic goods. The High Court also held that in G.O.Ms. issued by the Revenue from time to time, various items were expressly specified and Capacitors was one of them. In view of specific mention of the item, the Revenue was bound to grant benefit to the assessee of concessional rate of tax and the Tribunal was not justified in considering the question on the basis of 'operating principle'. The said process could have been undertaken by the Tribunal had there not been a specific mention of the item and the question was required to be decided on general principle and practice. But once there was a list of electronic items prepared by the Electronic Commission and G.O.Ms. referred to those items wherein 'Capacitors' was included, only thing the Tribunal required to do was to ascertain whether the item found place in the list or not. Once the item is included in the list, no further inquiry could have been undertaken. Accordingly, all Revisions were allowed and the issue was answered in favour of the assessee.