COMMERCIAL TAXES OFFICER, JODHPUR vs M/S. VISHNU METALS

The Supreme Court upheld the Rajasthan Tax Board's decision allowing M/s Narpat Steels Private Ltd.'s appeal against the District Level Screening Committee's rejection of its application for an Eligibility Certificate under the Sales Tax New Incentive Scheme for Industries, 1989. The Court interpreted Section 4(2) of the Rajasthan Sales Tax Act, 1954, clarifying that the definition of 'expansion' requires both a 25% increase in production and fixed capital investment. The Court found that the assessee met the production criteria by including job work, thus qualifying for the incentive scheme.