PRAKASH ENTERPRISES Vs. STATE OF KERALA

JUDGEMENT

(1.) THE matter arises under the Kerala General Sales Tax Act, 1963 (for short, "the Act" ). THE same assessee is the revision petitioner in all these cases. THE State is the respondent. THE assessment years concerned are 1990-91 to 1995-96 both inclusive.

(2.) THE main question involved in all these cases is regarding the liability to tax on the turnover of ingots which have been used in the execution of works contract, namely, the manufacture of empty tins. Hence all these revisions are disposed of by this common judgment.

(3.) THE learned Government Pleader appearing for respondents, on the other hand, submitted that the assessee had used the tin ingots purchased from outside the State in the manufacture of tins for its customers and therefore there is a deemed sale of the said tin ingots as contemplated under explanation (3a) to S. 2 (xxi) of the Act. THE Government pleader further submitted that this is not an item exempted under S. SC of the act. THE Government Pleader also relied on a decision of the Division Bench of this Court in the judgment dated October 31,2002 in T. R. C. No. 283 of 2002 (2003 (3) KLT (SN) 64 ). THE Government Pleader further submitted that the rate of tax on tin ingots used in the manufacture of tins is levied at 10 per cent which is the rate applicable to metals including tins under the First Schedule to the act. THE Government Pleader also submits that the gross profit addition at 25 per cent made to the purchase value of tin ingots is also reasonable and does not call for any interference by this Court.