of Punjab & Ors Vs. Shital Fibres Ltd.
& Anr  Insc 199 (18 February 2008)
Kapadia & B. Sudershan Reddy
O R D
E R CIVIL APPEAL NO. 1406 OF 2008 (Arising out of SLP(C)No. 10196/2007)
civil appeal is directed against the judgment of Punjab and Haryana High Court dated 29th November 2006 in CWP No. 14997/05 and connected four writ petitions.
writ petitions were filed against the show cause notice issued under Sec.51 of
Punjab Valuation Added Tax Act 2005. The question raised in the show cause
notice was weather blankets came under the description of "textile
fabrics" which were exempted goods. According to the Department the said
items in question were 'made-ups' and therefore taxable whereas according to
the assessee the items came under the category of 'textile fabrics'.
our view the aforestated dispute warrants adjudication by the Assessing Officer
and therefore the High Court should not have quashed the show cause notice at
express no opinion on the merits. We keep that question open.
the dispute warrants adjudication by the competent authority, we hereby set
aside the impugned judgment and remit the matter to the Assessing Officer for
determination of the said issue in accordance with law. Contentions on both
sides are expressly kept open.
the impugned judgment is set aside and the Department's civil appeal stands
allowed with no order as to costs.