9911796707
TMI Blog1988 (4) TMI 404X X X X Extracts X X X X X X X X Extracts X X X X ..... from the United Kingdom under an import licence issued by the Government of India. The petitioner claimed concessional levy of sales tax under the Government order dated 15th October, 1981 issued by the Government under section 8-A of the Karnataka Sales Tax Act. The Commercial Tax Officer, the second respondent, by an endorsement dated 10th December, 1986 declined to grant the concession by way of concessional rate as per the Government order, on the ground that the machinery imported by the petitioner was a second-hand machinery. Being aggrieved by this order, the petitioner has approached this Court in this writ petition for necessary relief. The question that arises for consideration is whether the machinery installed in the petitio ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... by the assessee as to what was the reconditioning that the machinery underwent and whether the said machinery, after undergoing reconditioning, could be. considered and treated as a new machinery for purposes of allowing development rebate. The Punjab High Court while allowing the claim of the assessee applied the reasoning of the Supreme Court in the case of Cochin Company v. Commissioner of Income-tax, Kerala [1968] 67 ITR 199. It was observed by the Supreme Court in the said case that "the question whether the reconditioning of the machines amounted to reconstruction or substitution of the entire machinery, meaning by entirety, not necessarily the whole, but substantially the whole subject-matter of the machinery". In the course of ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... oner is recognised by the Department of Industries and Commerce as a new unit manufacturing "continuous stationery" for use in computers. A certificate along with the additional information was furnished to the assessing officer in support of the claim for concessional rate of levy of sales tax on the ground that the machinery imported was new machinery. Thereupon the petitioner was asked by the second respondent to produce a certificate from the Director of Industries and Commerce that no part of the plant and machinery installed in their unit, was an old and second-hand machinery. Accordingly the petitioner produced a certificate issued by the Joint Director (SSI) (annexure F), that the machinery installed by the petitioner was a recond ..... X X X X Extracts X X X X X X X X Extracts X X X X
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