VENAD RUBBERS Vs. STATE OF KERALA

JUDGEMENT

(1.) This Revision Petition arises under the provisions of the Kerala General Sales Tax Act ('Act' for short). In this Revision Petition, we are concerned with the assessment year 1997-98.

(2.) The petitioner purchases old worn tyres and tyre wastes, tread waste etc. After powdering them, he sells it to industrial units, which are rubber based industries for use in the production of the finished products.

(3.) The assessee had filed its annual returns before the assessing authority claiming concessional rate of tax at the rate of 2.5%. The claim was rejected by the assessing authority and he had treated the sales effected by the assessee as a rubber product falling under Entry 112 of the First Schedule of the Act and liable to tax at the rate of 10%. Aggrieved by the findings and conclusions reached by the assessing authority, the assessee had carried the matter by way of first appeal before the first appellate authority, who by his order dated 15-11 -2003, treated the items sold by the assessee as an item falling under residuary clause in the first schedule and held that the assessee is liable to pay tax at the rate of 10%.