2001 (7) TMI 1274 - HC - VAT and Sales Tax

Summary

Issues:
1. Whether PVC pipe fitting can be treated as a spare part of a pumping set under entry 12 of Part IV of Schedule II.
2. Whether PVC pipe fitting can be considered as an accessory to the pumping set.

Issue 1:
The main issue in this case is whether PVC pipe fitting can be classified as a spare part of a pumping set under entry 12 of Part IV of Schedule II. The assessing authority and revisionary authority held that PVC pipe fittings are not spare parts of a pumping set, thus not eligible for the lower tax rate under entry 12. The petitioner argued that PVC pipes are used to connect with the pumping set for water flow. The court, after considering the arguments, found no merit in the writ. It cited a previous case where a rubber tube used in a gas cylinder was not considered a part of the cylinder. The court concluded that since the PVC pipe is used for supplying water from the pumping set, it cannot be considered a spare part of the pumping set.

Issue 2:
The second issue raised was whether PVC pipe fitting could be considered as an accessory to the pumping set. The appellant contended that PVC fittings should be treated as an accessory based on Supreme Court judgments defining spare parts and accessories. However, the court noted that the PVC pipe is solely used for water transportation and does not add to the convenience of the pumping set's operation. The court referred to a previous judgment where a rubber tube connected to a gas cylinder was not deemed a part of the cylinder. The court concurred with the single judge's finding that PVC pipe cannot be considered an accessory to the pumping set, leading to the dismissal of the appeal.

In conclusion, the court upheld the decision that PVC pipe fitting does not qualify as a spare part of a pumping set under entry 12 of Part IV of Schedule II. Additionally, the court ruled that PVC pipe fitting cannot be classified as an accessory to the pumping set based on the purpose and function of the PVC pipe in water transportation. The appeal was dismissed, affirming the lower court's judgment.