Commercial Taxes Officer vs Ganesh Lal Goyal and Sons

Vineet Kothari, J.—Heard learned counsel for the Revenue. The learned Tax Board by its impugned order dated March 24, 2009 passed in Appeal No. 1574 of 2007 has held that AC generator set (alternate current generator set) was correctly taxable at four per cent under item No. 41 of the Notification No. R4(12)/F/Tax-Div./2001-12 dated March 29, 2001, which during the relevant period read "all kinds of generating sets" at four per cent and, therefore, the assessing authority was not justified in imposing tax on the sale of such AC generator sets in residuary entry at 10 per cent.

Having heard learned counsel for the Revenue, this court is of the opinion that there is no error in the impugned order of the Tax Board dated March 24, 2009, and since the relevant entry No. 41 "all kinds of generating sets" is wide enough to cover the AC generating sets also during the relevant period, there appears to be no justification on the part of the assessing authority to invoke residuary entry and impose 10 per cent rate of tax. The learned Tax Board has, therefore, rightly held in favour of the respondent-assessee that same was taxable only at four per cent. There is no force in this revision petition filed by the Revenue and the same is accordingly dismissed. No costs. A copy of this order be sent to the respondent-assessee forthwith.