1991 (8) TMI 306 - HC - VAT and Sales Tax

Summary

The High Court of Madras ruled that the purchase of turmeric by the assessee and its conversion into powder did not attract purchase tax under section 7-A of the Tamil Nadu General Sales Tax Act, 1959. The Court held that powdered turmeric is only a changed form of the purchased turmeric and not consumed in the manufacture of other goods for sale. The Tribunal's decision was deemed erroneous, and the revision petition was allowed, quashing the assessment of purchase tax under section 7-A. No costs were awarded.