AGRO PIPES Vs. COMMISSIONER OF SALES TAX

JUDGEMENT

(1.) THIS is a reference made on an application filed by the applicant-assessee under Section 44 (1) of the M. P. General Sales Tax Act, 1958 (hereinafter referred to as the Act), whereby the learned President, Board of Revenue, has referred the following question of law to this Court for decision:

(2.) THE facts in brief, leading to this reference are as under: The applicant'-assessee which is engaged in the business of manufacture and sale of P. V. C. tubes and pipes was assessed to tax for the period 1st July, 1974 to 30th June, 1976. The sale of P. V. C. pipes was assessed to tax for the period 1st July, 1974 to 30th August, 1974 at the rate of 7 per cent under the residuary entry No. 1 of Part VI, Schedule II and for the period 31st August, 1974 to 30th June, 1976, at the rate of 12 per cent under entry No. 66 (ii) of Part II of Schedule II appended to the Act.

(3.) THE applicant's contention was that the rate of tax applicable was 3 per cent under Notification No. 1061-537-V-ST dated 7th April, 1967, issued under Section 12 of the Act, as modified by Notification No. 1432-138-V-ST dated 3rd July, 1971. In first appeal, the order of assessment was maintained and it was observed by the Appellate Assistant Commissioner, Sales Tax, that P. V. C. pipe was different from polythene pipes.