M/S BANSAL WIRE INDUSTRIES LTD. vs STATE OF U.P..

The Supreme Court examined whether 'stainless steel wire' qualifies as a 'declared commodity' under entry no. (ix) of clause (iv) of Section 14 of the Central Sales Tax Act, 1956. The Court held that 'stainless steel wire' does not fall under the category of 'tools, alloys and special steels' as defined, and thus, the tax levied at 4% was incorrect. The Court upheld the decision of the respondent to re-open the assessment under Section 21(2) of the UP Trade Tax Act, 1948, affirming the lower tax rate applicable to the commodity.