PONDICHERRY STATE COOP.CONSUMER FED.LTD. vs UNION TERRITORY OF PONDICHERRY

The Supreme Court held that the exemption from Sales Tax under G.O.Ms.No.15/74 is applicable to small scale industries, including the Assessee, which repackages goods, despite the High Court's view that such activities do not constitute 'manufacturing' as per the Pondicherry General Sales Tax Act, 1967. The Court emphasized that the exemption granted by the Director of Industries must be honored, leading to the reversal of the High Court's decision. Consequently, the appeal by the Assessee was allowed, affirming the Tribunal's ruling in favor of the exemption.