- (1.) This trade tax revision has been filed by the assessee against the order of the Tribunal dated July 21, 2003 passed in Second Appeal No. 402 of 2000 (assessment year 1996-97). Facts in short giving rise to the present revision are as follows : The assessee is stated to have entered into agreements for installation and commissioning of sprinkler irrigation system, with the Delhi Development Authority, Delhi and National Building Construction Corporation, Faridabad in the assessment year 1996-97. The assessee disclosed Central sales tax of Rs. 37,32,284,16 along with total receipt of Rs. 15,60,266 towards the works contract, from the aforesaid two contracting parties. It is not in dispute that the assessee for the purpose of executing the works contract supplied sprinkler irrigation systems. The assessing authority vide order dated March 7, 1998 accepted the accounts books. He levied Central sales tax of an amount of Rs. 7,80,133 on the material value of the goods used in the execution of works contract at the rate of 10 per cent.
(2.) Not being satisfied with the order of the assessing authority, the assessee filed First Appeal No. 402 of 2000. The first appellate authority vide order dated August 29, 2000 not only dismissed the appeal but also enhanced the tax liability by Rs. 58,184 by imposing tax at 10 per cent on total receipt.
(3.) The assessee filed second appeal giving rise to the present revision which has been partly allowed under order dated July 21, 2003. The assessment order passed by the assessing authority has been restored after determining the material value of the goods used in execution of works contract at Rs. 7,80,133. The Tribunal has placed reliance upon the decision of the apex court in case of Gannon Dunkerley & Co. v. State of Rajasthan, 1993 88 STC 204 for upholding the tax levied. The Tribunal has held that the works contract stood divided into two parts automatically one for supply of goods and other in respect of installation expenses, in view of the amendment made under article 366(29A)(b) of the Constitution of India.;