1982 (12) TMI 158 - HC - VAT and Sales Tax

Summary

Issues:
Interpretation of whether "ravva" qualifies as "rice" under entry 66 of the A.P. General Sales Tax Act.

Analysis:
The judgment of the Court addressed the issue of whether "ravva" falls under the definition of "rice" as per entry 66 of the A.P. General Sales Tax Act. The contention was that "ravva" is a distinct product from rice and is not commonly understood as rice in commercial usage. However, the Court referenced a previous Supreme Court decision which held that similar products like "parched rice" and "puffed rice" were considered as "rice" under the same entry. The Court noted that the process of converting rice into "ravva" is comparable to the process for parched rice and puffed rice. Therefore, based on the precedent set by the Supreme Court, the Court concluded that "ravva" should also be classified as "rice" under the relevant entry.

The Court also distinguished a previous decision by a Bench of the same Court, stating that it did not directly address the issue before the Court as it pertained to the period prior to certain amendments to the Act. The Court emphasized that the decision of the Supreme Court regarding the classification of similar products as "rice" was applicable in the present case.

Ultimately, the Court dismissed the tax revision cases, upholding that "ravva" is indeed considered as "rice" under the relevant entry, and therefore, the sale of ravva qualifies as a second sale exempt from tax. The Court ruled in favor of the assessees, citing the precedent established by the Supreme Court decision. The judgment concluded by dismissing the cases without costs, with an advocate's fee specified for each case.