In Brief
Ravi Prakash Refineries sold sunflower de-oiled cake (DOC) in inter-State trade, initially taxed at 2% under a CST notification listing "oil cake" as eligible for reduced tax. The revenue later reopened the assessment, arguing DOC was taxable at 4%, not 2%. The appeal raised whether DOC and oil cake are the same commodity. The Supreme Court held that oil cake and de-oiled cake are two distinct products, as enumerated separately in the statutory Schedule. The notification must be strictly construed and cannot be extended to include products not explicitly listed. However, the Court partially allowed the appeal: while the High Court's finding that the products differ was correct, the initial assessment should not have been reopened, as the assessing officer had properly examined the claim. The assessee retains the benefit of the initial 2% assessment.
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