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TMI Blog2016 (12) TMI 754X X X X Extracts X X X X X X X X Extracts X X X X ..... , the Gujarat Value Added Tax Tribunal is justified in law in holding that purified water when sold in loose jars and not in sealed containers falls under entry 154 of Schedule IIA to the Gujarat Sales Tax Act, 1969 and not under entry 93 of Schedule I to the said Act?" [2.0] Facts leading to the present appeals in nutshell are as under: [2.1] That the appellant - assessee is selling purified water under the trade name of "Shital Beverages". That the assessee is selling the purified water in the Milton Jugs / Jars. That the dispute arose whether the purified water sold in 5 and 10 liters jar / jug is subjected to the sales tax under Entry 154 of Schedule IIA to the Gujarat Sales Tax Act, 1969 (hereinafter referred to as "Sales Tax Act") ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... f of the Revenue that if the purified water is sold irrespective of the fact whether the same is sold under a brand name in sealed, capsuled or corked bottle, jar or pouch, the same shall fall under Entry 154 in Schedule IIA of the Sales Tax Act and therefore, the assessee is liable to pay the sales tax as per Entry 154. That the Assessing Officer did not agree with the same and held that "purified water" sold by the assessee falls under Entry 154 of Schedule IIA of the Sales Tax Act and consequently raised the demand of tax accordingly. [2.3] Feeling aggrieved and dissatisfied with the assessment order passed by the Assessing Officer, the assessee preferred revision application before the first Revisional Authority. That first Revisional ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... submitted that in the facts and circumstances of the case the learned Tribunal has materially erred in holding that "purified water" sold by the assessee falls under Entry 154 of Schedule IIA to the Sales Tax Act. [4.1] It is vehemently submitted by Shri Hemani, learned Advocate appearing on behalf of the assessee that the assessee is selling the purified water in liters in returnable jars. It is submitted that jars in which the water is sold are not seal packed. It is further submitted that the assessee is also not selling the purified water under any brand name. It is submitted that therefore when the assessee is neither selling the purified water under any brand name nor the same is sold in a seal packed jar or pouch, Entry 154 of Sched ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... t it also cannot be said that the assessee is selling the purified water in a "sealed container". Relying upon the decision of the Hon'ble Supreme Court in the case of Balkrishna Hatcheries reported in 148 STC 137 (SC), it is submitted that as held by the Hon'ble Supreme Court a container is considered to be a "sealed container" if it is closed in a manner that it is not possible to access the contents or remove the contents without breaking either the container or fastening if it is closed. He has also relied upon the decisions of the Hon'ble Supreme Court in the case of Martand Dairy and Farm vs. Union of India reported in 35 STC 629 (SC) and Commissioner of Sales Tax, Uttar Pradesh vs. G.G. Industries, Agra reported in 21 STC 63 (SC) in ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... said that the assessee is selling the purified water in a capsuled jar and therefore, the same shall fall under Entry 154. [5.4] Shri Vora, learned AGP appearing on behalf of the Revenue has relied upon the meaning of "capsule" from the Oxford Dictionary as well as other dictionaries. According to him "capsule" means a small case or container, an envelope, a sheath. It is submitted that therefore "purified water" sold by the assessee would fall under Entry 154 and the assessee is liable to pay the tax accordingly. [6.0] Heard learned Advocates appearing for respective parties at length. The short question posed for consideration of this Court is whether "purified water" sold by the assessee would fall under Entry 154 of Schedule IIA to th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... in Entry 154 must be sold under the brand name and in a sealed, capsuled, corked bottle, jar or pouch. Therefore, in the present case to bring the purified water sold by the assessee under Entry 154, the requirement is that the assessee is selling the same under the brand name in a sealed, capsuled or corked bottle, jar or pouch. [6.3] Considering the facts and circumstances of the case and when the assessee is selling the purified water in a jar having the capacity of 5 or 10 liters, having a top which is closed, it cannot be said that the assessee is selling the purified water in a sealed jar. Similarly, it cannot be said that the assessee is selling the purified water in a corked bottle, jar or pouch. However, considering the dictionary ..... X X X X Extracts X X X X X X X X Extracts X X X X
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