PANCHAJANYA ENTERPRISES Vs. COMMISSIONER OF C. EX.

JUDGEMENT

(1.) THIS appeal arises from Order -in -Appeal No. 125/99 -C.E., dated 2 -2 -1999 holding that the appellants are not entitled to benefit of deduction of the amount of Turnover Tax paid by them in terms of Section 18(3) of Karnataka Sales Tax Act, 1957.

(2.) LD . Advocate submits that the issue is no longer res Integra and the matter has been examined by the Tribunal in the case of Netravathi Tex Processors (P) Ltd. and Anr. v. CCE, Bangalore by Final Order Nos. 1954 and 1955/98, dated 25 -9 -1998 and held that the appellants are entitled for deduction of Sales Tax and Turnover Tax from the assessable value. He submits that the Commissioner (Appeals) had followed his own order in the case of Netravathi Tex Processors (P) Ltd. which has since been set aside by the Tribunal and therefore the Tribunal judgment squarely applies to the facts of the present case. He points out that the Tribunal granted waiver and complete stay of recovery in its Stay Order No. 578/99, dated 13 -4 -1999 and has clearly indicated that the issue is also fully covered in the matter and also granted out -of -turn hearing.

(3.) LD . D.R., Shri S. Kannan submits that the Commissioner has followed the ratio of the judgment rendered in the case of Bata India Ltd. as reported in 1996 (84) E.L.T. 164 which is required to be considered in the present case.