The Additional Commissioner (Legal) ... vs M/S Lohiya Agencies

The Supreme Court addressed the classification of 'gypsum board' under the Rajasthan Value Added Tax Act, 2003, specifically Entry 56 of Schedule IV, which pertains to 'Gypsum in all its forms' taxed at 4%. The Court held that 'gypsum board' is a distinct commercial product due to its manufacturing process and additional components, thus it does not fall under Entry 56 but under the residuary Entry 1 of Schedule V, attracting a tax rate of 12.5%. The judgment reversed the Rajasthan High Court's decision, affirming the tax department's assessment and penalties under Sections 25, 55 & 61 of the RVAT.