9911796707
TMI Blog1993 (10) TMI 316X X X X Extracts X X X X X X X X Extracts X X X X ..... the assessment records revealed that the turnover of fasteners was assessed only at 6 per cent. But, they are assessable at 15 per cent as coming within entry 125 of the First Schedule to the Kerala General Sales Tax Act. The objection of the assessee, that the turnover of fasteners was assessable only at 6 per cent, was repelled. The assessments were made as proposed by the assessing authority. In appeals the assessments were affirmed. In second appeal, the Sales Tax Appellate Tribunal, by a common order dated April 30, 1992, upheld the assessments made on the fasteners and held that the turnover of fasteners will come under entry 125 of the First Schedule to the Kerala General Sales Tax Act. It is thereafter the assessee has filed the ab ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... tatutory authorities. The reported decision in New Prasanthi Automobiles Co. case [1993] 91 STC 565; [1992] 2 KLT 713 is distinguishable. In that case, the assessee was a dealer in automobile spare parts and also a dealer in hardwares, rubber goods and tractor parts. It is seen from the original records in T.R.C. Nos. 163 and 164 of 1991 [New Prasanthi Automobiles Co. v. State of Kerala [1993] 91 STC 565 (Ker)], that the assessing authority has proceeded on the ground that the sales turnover of nuts and bolts in the said case (fasteners) is liable to tax at 15 per cent and 10 per cent respectively. In other words, the assessing authority himself proceeded on the ground that the nuts and bolts marketed by the assessee are fasteners. In this ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ngine or chassis even though some of them may have general uses too. Some of the bolts and nuts may certainly have technical specifications applicable to motor vehicles or engines. From the assessment order, we find that the items of fasteners were specifically designed for automobiles and the same cannot be utilised for any other general purpose. In the assessment order for both the years, it is mentioned by the assessing authority that 'U' bolts were classified by the dealer as item 125 of the First Schedule. It was also mentioned that main customers are automobile spares dealers and automobile body builders. When these facts are taken into account, the fasteners sold by the assessee can only be regarded as parts of motor vehicles or moto ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... re popularly or generally known. On these aspects, the Appellate Tribunal has not applied its mind. The decisions of the statutory authorities are far from satisfactory on this score. 8.. Therefore, we are of the view that the Appellate Tribunal has not adjudicated the question that arose before it according to law or from a proper perspective. We, therefore, set aside the common order of the Sales Tax Appellate Tribunal dated April 30, 1992 and order a remit of the matter to the Appellate Tribunal for a proper consideration in accordance with law. We should reiterate that the first duty of the Appellate Tribunal is to find out what is the fastener that was marketed or sold by theassessee. Only after finding the exact specification or ite ..... X X X X Extracts X X X X X X X X Extracts X X X X
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