- (1.) The assessee has filed this revision petition against the order dated 24/1/2011 of learned Tax Board, whereby, the Revenue's appeal filed against the order of Deputy Commissioner (Appeals) dated 23/7/2008 came to be allowed and the Tax Board held in favour of the Revenue that the assessee was not entitled to set off of Entry Tax paid by it on purchase of corrugated paper while importing the same in the State under the provisions of Rajasthan Tax on Entries of Goods into Local Area Act, 1999, since the corrugated boxes manufactured by the assessee out of such paper was not covered by relevant entry 'paper products including exercise books', in the relevant Notification for giving such set off.
(2.) The learned Tax Board relied upon the 'Kar-Niti Paripatra 2002-2003/11 (S.No.1580:f.16(26) Tax/CCT/90/7637 dated 10/1/2003 by which the State Government issued a clarification that the entry "All kinds of papers and paper products including Exercise Books" does not cover "packing material". The said clarification issued by Commercial Taxes Department is reproduced hereunder:- "S.No.1580:F.16(26)Tax/CCT/90/7637 Dated:10.01.2003 Kar-Niti Paripatra 2002-2003/11. Sub:-Regarding Entry Tax on all kinds of Papers. With regards to ambiguity of "All kinds of papers and paper products including Exercise Books" the Government has clarified that in notification of even No.133 to 136 dated 13.12.2002 (S.No.1571 to 1574) "All kinds of papers and paper products including Exercise Books" does not cover packing material. Therefore, it is directed to ensure compliance of this clarification to all of your o icers."
(3.) The Tax Board accordingly held that the assessee was not entitled to set off of Entry Tax paid against sales tax payable on the sale of corrugated boxes manufactured by it out of paper purchased by it on which Entry Tax was paid by him. The relevant Notification S.O.No.72 dated 21/7/2004 in which under Entry No.12 "All kinds of paper and paper products including exercise books", 4% Entry Tax was imposed by the State Government is reproduced hereunder to the relevant extent: "S.O.72.-In exercise of the powers conferred by subsection (1) of section 3 of the Rajasthan Tax on Entries of Goods into Local Areas Act, 1999 (Rajasthan Act No.13 of 1999), and in supersession of this Department Notification No.F.4(4) FD/Tax Div./99-246, dated October 15, 1999 (as amended from time to time), the State Government being of the opinion that it is expedient in the public interest so to do, hereby specifies that the tax payable by a dealer under the said Act in respect of the good specified in Column 2 of the List annexed hereto, and brought into any local areas, for consumption or use or sale therein, shall be payable at such rate as has been shown against them in Column 3 of the said List, with immediate e ect:- JUDGEMENT_77_LAWS(RAJ)11_2011_1.html;