1981 (2) TMI 228 - HC - Service Tax

Summary

The Madras High Court dismissed the tax revision case, ruling that no new commodity emerged in the process done by the assessee involving prawns, and therefore, the tax liability does not apply. The Court cited a previous Supreme Court case regarding sliced pineapple fruits to support their decision. The Court held that prawns subjected to cleaning, cutting, and packaging for export retained their original character and could not be considered a new commercial commodity. The Court upheld the Tribunal's decision to grant exemption under section 5(3) of the Central Sales Tax Act, 1956.