PRESTON INDIA PRIVATE LIMITED Vs. STATE OF KARNATAKA

JUDGEMENT

(1.) M /s. Preston India Private Limited is before us aggrieved by the Advance Ruling/Clarification Order dated 30.9.2005 - Annexure - B. The following questions of law are framed in terms of the pleadings.

(2.) APPELLANT is engaged in manufacture of Chappals at its unit in Bangalore. Entry 47 of the Third Schedule appended to the Act as it stood between the periods 1.4.2005 to 6.6.2005 would read as 'Plastic Footwear' for the purpose of levy of tax. It was subsequently substituted by Karnataka Act No. 27 of 2005. The substituted provision came into force with effect from 7.6.2005. Entry 64 would read as under :

(3.) THE Appellant also manufactures footwear called as 'EVA Footwear'. It is made up of Moulded Plastic Footwear wherein two pieces of plastic which pertain to Sole and Strap made of Ethylene Vinyl Acetate (EVA) Polymers are moulded together with a stud which is made up of PVC Compound being inserted in the northern end of the footwear so as to enable the principal toe and the toe next to it of the wearer to have a firm grip while using the said footwear. Entry 47 of the Third Schedule as it stood between 1.4.2005 to 6.6.2005 provided tax at 4% and thereafter, it was covered under Entry 64 of the Third Schedule.