2019 (9) TMI 1571 - HC - VAT and Sales Tax

Liability of tax - sale of ladies suits (un-stitched dress materials) - unclassified items or not - HELD THAT - Perusal of the order of the Tribunal reveals that the Tribunal has found that the items sold by the assessee were not stitched garments but only textile as may be put to use for stitching ladies garments. The fact that some embroidery had been done, did not make any difference in the opinion of the Tribunal, inasmuch as the items themselves did not constitute stitched garments and such identity could not be attached to them. Arising from such factual findings, the further finding reached by the Tribunal that the items in question did not constitute stitched garments but only textile made up, cannot be faulted. Revision dismissed.

Summary

Issues: Delay Condonation Applications, Order on Revisions

Delay Condonation Applications:
The revisions were filed with a delay of 13 days, attributed to inadvertence on the part of the revenue. The court, considering the nature of delay and the explanation provided, condoned the delay in filing the revisions. The delay condonation applications were allowed.

Order on Revisions:
The revisions were filed by the revenue against the order of the Commercial Tax Tribunal, which had partly allowed the assessee's appeals and deleted the tax liability on the sale of ladies suits. The Tribunal found that the items sold were textile made up and not stitched garments, despite some embroidery. The Tribunal's factual findings were not challenged, leading to the acceptance that no stitching had been done on the items. Consequently, the court upheld the Tribunal's decision, stating that the revisions lacked merit and were dismissed. The court concluded that the revisions were based on findings of fact that did not justify interference.