9911796707
TMI Blog1984 (2) TMI 303X X X X Extracts X X X X X X X X Extracts X X X X ..... oncern. It was converted into a registered partnership firm in 1975 for carrying on business of manufacturing and selling plastic goods, namely, polythene bags, films, plastic pipe, plastic cane, monofilaments, extruded sections, etc., and was a licensed registered dealer under the provisions of the Rajasthan Sales Tax Act, 1954. It appears, after the proprietorship concern being converted into a partnership firm, fresh licences were granted to the new partnership firm and new registration No. R.S.T. 512/67 and C.S.T. JUC/4467 were allotted to the new partnership firm. In order to boost industrial production in the State, it is alleged, the State Government has given exemption to pay tax for new products with the help of new machinery under ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... firm was using the old machineries for the purpose and no new machinery has started production. In that view of the matter, according to Mr. Additional Advocate-General, the petitioner was not entitled to the exemption to be granted under section 5CC of the Rajasthan Sales Tax Act, 1954. Section 5CC of the Rajasthan Sales Tax Act, 1954, and the notification under section 5CC are in the following terms: "5CC. Remission of tax on raw material for specified Period-(1) Notwithstanding anything contained in section 5 or 5A, but subject to such restrictions and conditions as may be prescribed, no tax shall be payable by a registered dealer who commissions any notified industry within the State on or after the first day of March, 1970, but be ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... te, as the assessing authority may determine, having regard to the circumstances in which such use was made. Explanation.-For the purpose of this section 'notified industry' means an industry notified by the State Government in this behalf." "Notification No. F. 5(15)FD/CT/70-25, dated 1st July, 1970. In pursuance of the explanation to section 5CC of the Rajasthan Sales Tax Act, 1954 (Rajasthan Act 29 of 1954), the State Government hereby notifies that all industries with new units shall be treated to be notified industries for the purpose of the said section. Note: For the purpose of this notification 'new unit' means factory or workshop using machinery or substantial parts thereof not already used or acquired for use in any other ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... than, but does not include any factory or workshop established on the site of an existing factory or workshop manufacturing the same goods or any addition to or extension of an existing factory or workshop for manufacturing the same goods. From the said note to the notification it is clear that even if a factory or workshop established on the site is extended by any addition but manufactures the same goods, it will not come within the meaning of the word "new unit". Therefore, in my opinion, Mr. Additional AdvocateGeneral is correct when he says that new unit means new unit to be established for the manufacture of the goods on the expansion of a factory or existing factory or workshop for manufacturing the same goods, will not attract the n ..... X X X X Extracts X X X X X X X X Extracts X X X X
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