DEPUTY COMMISSIONER OF SALES TAX (LAW), BOARD OF REVENUE (TAXES), ERNAKULAM. versus THOMAS STEPHEN & CO. LTD. QUILON.

DEPUTY COMMISSIONER OF SALES TAX (LAW), BOARD OF REVENUE (TAXES), ERNAKULAM. versus THOMAS STEPHEN & CO. LTD. QUILON.

Goods used for ancillary purposes such as fuel or for maintenance are not consumed in manufacture as required by Section 5A(1)(a); and no disposal occurred under Section 5A(1)(b) as there was no transfer to another person.

Parties
Petitioner: Deputy Commissioner of Sales Tax (Law), Board of Revenue (Taxes), Ernakulam; Respondent: Thomas Stephen & Co. Ltd. Quilon
Jurisdiction
India
Judgment Date
14 March 1988
Procedural Posture
Special Leave Petition (civil) / Supreme Court Decision on Petition for Leave to Appeal
Outcome
Petition dismissed
Legal Topics
Kerala General Sales Tax Act, 1963, Interpretation of Section 5 A(1), Consumption of Goods in Manufacture, Disposition of Goods
Tax Law Kerala General Sales Tax Act, 1963 Interpretation of Section 5 A(1) Consumption of Goods in Manufacture Disposition of Goods

Case Brief

Summary, issues, holding and outcome

More case intelligence is available

Unlock the full research layer for this judgment.

Full judgment text Legal principles 2 Authorities cited 4 Party arguments 2
Sign in to unlock

Parties

Deputy Commissioner of Sales Tax (Law), Board of Revenue (Taxes), Ernakulam

Petitioner

Thomas Stephen & Co. Ltd. Quilon

Respondent

Procedural Posture

Special Leave Petition (civil) / Supreme Court Decision on Petition for Leave to Appeal

Legal Issues

  1. 1 Whether cashew shells and consumed stores used as fuel and for maintenance are liable to purchase tax under Section 5A(1) of Kerala General Sales Tax Act, 1963
  2. 2 Whether use of such goods constitutes consumption in manufacture under Section 5A(1)(a)
  3. 3 Whether there was disposal of goods under Section 5A(1)(b)

Ratio Decidendi

Goods used for ancillary purposes such as fuel or for maintenance are not consumed in manufacture as required by Section 5A(1)(a); and no disposal occurred under Section 5A(1)(b) as there was no transfer to another person.

Court Disposition

Petition dismissed

Orders

  • Petition for leave rejected
  • Petitions dismissed