A.C.T.O. Vs. JODHPUR GASES

JUDGEMENT

(1.) INSTANT sales tax revision petition has been filed by the Assistant Commissioner, Special Circle -I, Jodhpur against the judgment and order dated 13.5.2008 passed by the Tax Board, Ajmer in Appeal No. 804/07/Jodhpur, whereby, the learned Tax Board has affirmed the judgment dated 18.12.2006 passed by the Deputy Commissioner (Appeals), Commercial Taxes, Jodhpur, whereby, the first appellate authority set aside the additional demand of tax/surcharge and interest for the difference amount of 4 per cent of tax which is created on the ground that as per Entry No. 176 of the notification dated 22.3.2003, 12% tax is leviable upon oxygen and industrial gases.

(2.) EARLIER , in pursuance of tax assessment order dated 7.3.2005, the respondent dealer deposited tax and surcharge at the rate of 8 per cent for the year 2002 -03; but, later on, demand was created for the difference amount of 4% tax and surcharge and interest on the ground that as per notfn issued by the Government oxygen and industrial gases fall under Entry No. 176, for which, 12 per cent tax is leviable.

(3.) LEARNED Counsel for the petitioner vehemently argued that in view of the express entry in the notfn dated 22.3,.2002, at Entry No. 176, tax at the rate of 12 per cent was to be levied because on the use of the product in question it is a gas which cannot be termed as medicine or drug. Further, it is argued that when specific entry regarding tax rate has been prescribed, then, it has to be accepted in its totality.