ADITYA SURGICAL CO Vs. THE STATE OF KARNATAKA

JUDGEMENT

(1.) The petitioner - Aditya Surgical Company dealing with certain Blood Bank Equipments and other Medical Equipments is aggrieved by the order passed by the Respondent - Commissioner of Commercial Taxes under Section 59(4) of the Karnataka Value Added Tax Act, 2003 ('KVAT Act, 2003' for short), in which on an Application filed by the petitioner - Company seeking clarification from the Respondent - Commissioner of Commercial Taxes, about the Rate of Tax applicable to Blood Collection Monitors, Blood Storage Refrigerators and Deep Freezers, Platelet Agitators with incubators and Plasma Expressers (Electrical and Manual) and Cryobaths, the learned Commissioner held affirming that the said goods would not fall within the ambit and scope of Entry 61 of the III Schedule to the KVAT Act, 2003, which reads as "61. Medical Equipments, Devices and Implants" taxable at the rate of 4% but would be taxable at the rate of 12.5% in the Residuary Entry as per Section 4(1)(b)(iii) of the KVAT Act, 2003.

(2.) The learned Senior Counsel for the petitioner - Company, Mr. K.P. Kumar, has drawn the attention of the Court that all these aforesaid items for which the clarification about the Rate of Tax was sought by the petitioner - Company rendered medical aid or performed the ancillary functions as Medical Equipments and the said explanation and details as narrated in the Memorandum of this Petition is quoted below for ready reference.

(3.) The learned Senior Counsel for the petitioner, Mr. Kumar, therefore, has submitted that the learned Commissioner on a misconception that the "Blood Bank Equipments" as aforesaid are not "Medical Equipments" but are in the nature of 'Refrigerators, Weighing Machines and Storage Equipments', has wrongly held them to be falling under the Residuary Entry and not under Entry 61 of the III Schedule to the KVAT Act, 2003.