IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE C.N.RAMACHANDRAN NAIR & THE HONOURABLE MR. JUSTICE K.SURENDRA MOHAN TUESDAY, THE 17TH FEBRUARY 2009 / 28TH MAGHA 1930 ST.Rev..No. 293 of 2006 ------------------------- TA.353/2005 of STAT ADDL.BENCH, KOTTAYAM .................... REVISION PETITIONER/RESPONDENT/REVENUE: ----------------------------------------------------- STATE OF KERALA REPRESETNED BY JOINT COMMISSIONER (LAW), COMMERCIAL TAXES, ERNAKULAM. BY SPL. GOVERNMENT PLEADER(TAXES), SRI.VINOD CHANDRAN RESPONDENT/RESPONDENT/ASSESSEE: -------------------------------------------- ANILKUMAR, AMMAL MARKETING,' THONNAKKADU, CHENGANNUR. ADV. SRI.ARIKKAT VIJAYAN MENON SRI.HARISANKAR V. MENON THIS SALES TAX REVISION HAVING BEEN FINALLY HEARD ON 17/02/2009, THE COURT ON THE SAME DAY PASSED THE FOLLOWING: C .N. RAMACHANDRAN NAIR & K. SURENDRA MOHAN, JJ. - - - - - - - - - - - - - - - - - - - - - - - - - - - - - S.T.Rev. No. 293 OF 2006 - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - Dated this the 17th day of February, 2009 JUDGMENT Ramachandran Nair,J. The question raised in the revision filed by the State is whether the Tribunal is justified in directing the assessment of cast iron fittings used in sanitary works under Second Schedule at 4% as against 12% assessed by the assessing officer under Entry 170 of the First Schedule to the KGST Act. We have heard the Special Government Pleader(Taxes) appearing for the petitioner and Sri.Harisankara Menon appearing for the respondent. On going through the Tribunal's order, we find that the Tribunal has accepted the goods involved as made of cast iron and used as fittings such as (jally, brackets etc). In fact, the exact nature of the use of the items are not disclosed in the orders of any of the authorities. One item of cast iron which is (bracket) used for fitting of wash basin is certainly a sanitary fitting falling under Entry 170 which provides for rate of tax at 12% on Water Supply and Sanitary equipments and fittings, water meter, its spare parts and STRV : 293/06 -:2:- accessories. There is nothing to indicate in the Entry as to the material used in the manufacture of the items referred therein. Usually sanitary equipments are made of clay and fittings are of brass, steel, cast iron etc. When cast iron fitting is used in fixing sanitary equipment, necessarily it comes under Entry 170. It is to be noted that the respondent is a dealer in sanitary equipment and that the cast iron items sold by him are either fittings or equipments used in sanitary works. If the items sold by the respondent are used in any manner in fixing sanitary equipments then all such items have to be assessed under Entry 170. The contention of the respondent that cast iron item sold by him fall under Entry 2(ii) (a) of the Second Schedule to the KGST Act is unacceptable because, the items referred to therein are: Pig Iron and Cast Iron including Ingot, Moulds, bottom plates, iron Scraps, Cast Iron Scraps, Runner Scraps and Iron Skull Scrap. It is obvious from the description in the Entry that the items referred to therein are not products but are basic raw- materials which are either iron or cast iron used in the manufacture of products. Therefore, sanitary fittings made of cast iron fall outside the scope of Entry 2 of the Second Schedule to the KGST Act. The STRV : 293/06 -:3:- Revision petition is therefore allowed by reversing the order of the Tribunal and by upholding the assessment of cast iron sanitary fittings at 12% under Entry 170 of the First Schedule to the KGST Act. However, if any item sold by the respondent is not for use as sanitary fittings or for any sanitary work, it is for him to furnish the details to the assessing officer to consider the rate applicable for such item. (C.N.RAMACHANDRAN NAIR) Judge. (K. SURENDRA MOHAN) Judge. ttb STRV : 293/06 -:4:-