UNIQUE INFLATABLES LIMITED Vs. STATE OF ANDHRA PRADESH

JUDGEMENT

(1.) Tribunal Appeal:

(2.) LEVY of tax @ 8% on a net turnover of Rs. 21,95,380/ - relating to hire charges of inflatables, balloons and bouncies, as made by the Commercial Tax Officer, Jubilee Hills Circle, Hyderabad, for the year 2001 -02 by order dated 19.2.2005, as upheld by the Appellate Deputy Commissioner (CT), Punjagutta Division, Hyderabad, by dismissal of Appeal No. 166/05 -06 by order dated 9.3.2006, is the subject matter of challenge in this Tribunal Appeal preferred by the unsuccessful appellant contending, inter alia, that there being no transfer of effective control, legal or physical, of the balloons, inflatables and bouncies to the customers, Sec. 5E of the AP GST Act, 1957 (for short, 'the Act') has no application and the amount charged by the appellant being towards the service charges for offering the services of displaying the advertisements on the balloons, inflatables and bouncies, they are not hire charges as there was no transfer of right to use goods by the appellant in favour of its customers and levy of tax @ 8%, is not sustainable.

(3.) ASSAILING such a dismissal order, the unsuccessful appellant has preferred the Tribunal Appeal on hand with the contentions as narrated, in brief, in para -1.