CE - Classification of Printed Advertising Material - Supreme Court Settles the dispute after 15 years
THE question before the Supreme Court was classification of what the manufacturer described as "printed trade advertising material". The goods in question consist of sheets of vinyl printed on them, generally, a picture, and a slogan. The goods are used to advertise material. It was explained that such a sheet is placed in a frame made of metal on three sides, the sheet being placed in the open front. It is illuminated from behind by a light source in the frame. Such displays are found where the public congregate, as in bus stops and railway stations.
The Commissioner classified it under Heading 94.05 - "Illuminated signs, illuminated name plates and the like, having a permanently fixed light source, and parts thereof not elsewhere specified or included."
The assessee claimed classification under Heading 49.01, for printed books, newspapers, pictures, and other products of the printing industry; manuscript, typescript and plans.
The Tribunal agreed with the assessee and allowed its appeal in the year 2000. The Supreme Court condoned the delay and admitted the Revenue Appeal in 2001 and on Monday after fourteen years, the Supreme Court dismissed the Revenue Appeal, agreeing with the Tribunal.
Fortunately in this case, there was no pre-deposit and so the assessee has no stakes.
From Monday, the Supreme Court has a Special Tax Bench sitting every day. This was one of the cases decided on the first day by the new Tax Bench. With an exclusive Tax Bench, we can hope to have some of the old cases being disposed of.
Perhaps the Supreme Court should consider taking up some of the latest cases also. After all it is in nobody's interest if a tax issue is decided after 10 to 15 years. Maybe the Cause List should contain one old case and one new case alternately. All the cases listed for today are appeals of 2003.