GRAMOPHONE COMPANY OF INDIA LTD. Vs. COMMISSIONER

JUDGEMENT

(1.) ALL the revisions have been filed by the asses -see under section 11 of the U.P. Trade Tax Act, 1948, against the consolidated judgment and order dated July 17, 2003, passed by the Trade Tax Tribunal, Lucknow in Second Appeals Nos. 83 of 2002; 360 of 2002; and 80 of 2002, for the assessment years, mentioned above. The brief facts of the case are that the assessee is engaged in the sale of electronic items specially in the audio cassettes or audio compact discs, etc. The AO has levied the tax at 10 per cent, by treating the compact discs as unclassified items. The assessee has claimed that the compact discs are electronic goods, so the tax is leviable at five per cent, as per the Office Memorandum No. 2 -2375/11 -9(251) -97, dated September 7, 1981. But the AO has not accepted the plea of the assessee. The same was upheld not only by the first appellate authority, but also by the Tribunal. Being aggrieved, the assessee has filed the present revisions.

(2.) WITH this background, heard Sri M.M. Dewan, learned counsel for the revisionist -assessee and Sri H.P. Srivastava, learned Additional Chief Standing Counsel for the Department.

(3.) FURTHER , there is no utility of the compact disc independently. It become useful only in music system/equipment. When it is so, then it is an essential part of the electronic system. Hence, the same will have to be treated under the category of the "electronic goods".