COMMNR., SALES TAX, U.P. vs M/S.LAL KUNWA STONE CRUSHER (P) LTD.

The Supreme Court addressed the applicability of sales tax on goods produced from stone boulders, specifically gitti, stone chips, and dust, under the U.P. Sales Tax Act, 1948. The Court held that the transformation of boulders into smaller stone products does not constitute a manufacture that creates a new commercial commodity, as they retain their identity as stone. Consequently, the Court upheld the Tribunal's decision that these goods are not subject to additional sales tax, affirming the principle that goods must be commercially distinct to attract tax under Entry 40 of the notification dated September 7, 1981.