| Case ID |
3d9ba5fe-72f4-4f9c-9c10-6d686f008034 |
| Body |
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| Case Number |
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| Decision Date |
Mar 31, 1986 |
| Hearing Date |
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| Decision |
The Appellate Tribunal ruled that the decoration pieces and flower pots manufactured by the appellant, Messrs Murad Pottery Works, were made from baked clay and thus exempt from sales tax under Notification No. 9 of 27-9-1951. The decision emphasized that the products qualify as pottery, which is expressly exempt from sales tax. Furthermore, the Tribunal noted that the characterization of certain goods as toys does not negate their exemption status, as these items also fall under the relevant headings of the Sales Tax Act. The Tribunal ultimately accepted the appeals for the assessment years in question. |
| Summary |
In the case before the Appellate Tribunal Inland Revenue, the appellant, Messrs Murad Pottery Works, contested the sales tax liability imposed on their flower pots and decorative pieces. The Tribunal examined the provisions of the Sales Tax Act, particularly Section 7 and Notification No. 9 of 27-9-1951, which exempts pottery articles from sales tax. The Tribunal determined that the goods in question, made of baked clay, fall under the definition of pottery and are therefore exempt. This ruling clarified the distinction between decorative articles and toys, affirming that items manufactured by the appellant are exempt under both relevant notifications. The Tribunal's decision is crucial for businesses involved in pottery manufacturing, ensuring clarity in the application of sales tax exemptions. Keywords include sales tax exemption, pottery, decorative pieces, and legal precedent in taxation. |
| Court |
Appellate Tribunal Inland Revenue
|
| Entities Involved |
Messrs Murad Pottery Works
|
| Judges |
SIKANDAR HAYAT KHAN, MEMBER
|
| Lawyers |
Amir Alam Khan, C.A. for Appellant,
Bilal Khan, D.R. for Respondent
|
| Petitioners |
Messrs Murad Pottery Works
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| Respondents |
Not available
|
| Citations |
1986 SLD 152 = 1986 PTD 836
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| Other Citations |
Not available
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| Laws Involved |
Sales Tax Act, (III of 1951)
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| Sections |
7
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