RAJALAKSHMI ENTERPRISES Vs. STATE OF TAMIL NADU

JUDGEMENT

(1.) TAX Case Revision under Section 37 of the T.N.G.S.T. Act, 1959 against the order of the Joint Commissioner of Commercial TAXes III, dated 11.09.1996 in Ref.No.F1/F2/48053/94 SMR No.138/95. The assessee is the appellant herein. The assessee is manufacturer and seller of paper cones, reported a total and taxable turnover of Rs.9,05,085/- and Rs.6,79,270.85/- respectively in the "A1" returns filed for the year 1991-92. The Assessing Officer by relying upon G.O.P.No.1316/CT & RE dated 07.10.1988, stated that the sale by any dealer of textile machinery spares in which Bobbin, Cones and Tubes were used, were given concessional rate of tax from 8% to 4% was not applicable as the assessee has stated that it is a mere packaging material.

(2.) AGGRIEVED against the same, the petitioner preferred the appeal before the Appellate Assistant Commissioner and the Appellate Assistant Commissioner in his order found that the sale made by the assessee would clearly come under the provisions of G.O.P.No.1316/CT & RE dated 07.10.1988 and granted the exemption by allowing the appeal of the assessee.

(3.) THE appellant pleaded mainly on the two questions of law viz.,