Case Law Details
After due consideration, we are of the view that the question has to be answered in favour of the assessee. The items in question are integral part of printer which undisputedly is covered by Entry 3. Thus, we are in agreement with the view taken by the Delhi High Court. Principle laid down in judgments of Hon’ble Supreme Court about interpretation of ‘accessory’ also lends support to the contention of the assessee.
As regards the contention raised on behalf of the revenue that toners and cartridges have been specifically used in Part-A, for exclusion from Entry 50, and the same could not be impliedly included under Entry 4 of Part-B of the Second Schedule, we are of the view that scope of Entry 4 of Part-B of Second Schedule is much wider. While exclusion may be considered necessary from printing ink in Entry 50 of Part-A (Part A deals with ‘general’ goods), specific mention thereof may not be necessary in general and wide entry in Entry 4 of Part-B – parts and accessories of computer systems and peripherals (Part B deals with IT goods).
It is settled that a fiscal entry is to be given a common sense meaning as understood by persons dealing with such goods and not any technical meaning. (FILTERCO AND ANOTHER VS. COMMISSIONER OF SALES TAX, MADHYA PRADESH AND ANOTHER, (1986)2 SCC 103 para 12), Applying this test, ink of the printer has to be held to be its accessory, in absence of any compelling reason.
GAUHATI HIGH COURT
HEWLETT PACKARD INDIA SALES PVT LTD
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