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W.P.Nos.8763 & 8764 of 2008--------------------------------------THE HIGH COURT OF JUDICATURE AT MADRASDATED: 09.09.2025CORAM:THE HONOURABLE MR.JUSTICE S.M.SUBRAMANIAMANDTHE HONOURABLE MR.JUSTICE C.SARAVANANW.P.Nos.8763 and 8764 of 2008M/s.Almonard Limited, Rep. by its Power of Attorney Mr.R.Raghupathy, No.439/3-B, E.N.I. Estate, Alapakkam, Chennai – 600 116. ...Petitioner in both the WPsVs.1.The Commercial Tax Officer, Porur Assessment Circle, Chennai – 600 087.2.State of Tamil Nadu, Rep. by the Deputy Commissioner CT, Chennai, East Division. 3.The Secretary, Sales Tax Appellate Tribunal, (Main Bench), Chennai – 600 104. ...Respondents in both the WPsPRAYER in W.P.No.8763 of 2008: This Petition filed under Article 226 of the Constitution of India praying to issue a Writ of Certiorarified Mandamus, calling for the records in Proceedings STA No.196/2004 on the file of the third ----1/7 https://www.mhc.tn.gov.in/judis W.P.Nos.8763 & 8764 of 2008--------------------------------------respondent and quash its order dated 01.02.2008 upholding the levy of Sales Tax at the rate of 12% under Entry 22 of Part DD of the First Schedule and direct the third respondent to dispose of on merits. PRAYER in W.P.No.8764 of 2008: This Petition filed under Article 226 of the Constitution of India praying to issue a Writ of Certiorarified Mandamus, calling for the records in Proceedings COP No.37/2004 on the file of the third respondent and quash its order dated 01.02.2008 and direct the third respondent to dispose of the Memorandum of Cross Objections on merits. For Petitioner : Mr.A.Gopalakrishnan in both the WPsFor Respondents: Mr.TNC.Kaushik, Addl. Govt. Pleader in both the WPs*****O R D E R(Order of the Court was made by C.SARAVANAN, J.)The present Writ Petitions are directed against the impugned order dated 01.02.2003 passed by the 3rd respondent, Sales Tax Appellate Tribunal, Chennai in STA.No.196 of 2004 and COP.No.37 of 2004. 2. By the impugned order, the appeal of the respondent State against the order of the Appellate Commissioner dated 09.03.2004 has been allowed. The dispute in the present case pertains to rate of tax of air curtains. The contention ----2/7 https://www.mhc.tn.gov.in/judis W.P.Nos.8763 & 8764 of 2008--------------------------------------of the petitioner is that the air curtains traded by the petitioner would attract tax at 8% as that of the electrical fans in terms of Entry 17 of Part C of the First Schedule to the Tamil Nadu General Sales Tax Act, 1959. On the other hand it is the view of the Tribunal that the petitioner would be liable to pay tax at 12% in terms of Entry 22 of part DD of the First Schedule to the Tamil Nadu General Sales Tax Act, 1959 passed with effect from 01.04.2000.The operative portion of the impugned order of the Tribunal reads as under: 9. Air curtain is a sheet of moving air that is blown down as open doorway or across some other open area. It is an environmental separation equipment which prevents outside air, insects or hot air entry to the conditional area through the open doorways. The principle of Air Curtain is that it blows the atmosphere air at constant velocity at the doorways and forms an air stream for the entire width and height of the door openings. The velocity will vary depending on the effective throw of the air stream. Moreover, it can reduce the energy consumption considerably by holding the uniform cold air temperature at the air-conditioned area. In total, it is an energy conservation unit for the air conditioned area. It minimises the loss of heated or cooled air from the building almost like real door. It also prevents insects, rain and dust from the outside entering the building. Some Air curtains can handle heated air during the winter months. The Air curtain unit is also fitted with motors and impellers. ----3/7 https://www.mhc.tn.gov.in/judis W.P.Nos.8763 & 8764 of 2008-------------------------------------- Hence, it is clear from the description that air curtains have more salient features and characteristics than that of an electrical fan and hence are different and cannot be classified as an electircal fan. Therefore, the contention of the assessee that air curtains are taxable at 8% as electrical fans is not correct. Hence, the assessment made by the assessing authority under Entry 22 of Part DD of the first schedule at 12% is in order and accordingly, the assessment on the turnover of Rs.8,44,370/- at the differential rate of 4% is restored. 3. The relevant entries are extracted below:-The First Schedule – Part CSl. No.Description of GoodsPoint of Levy in th State Rate of Tax17Electrical fan of all types, electrical lighting bulbs (including gas filled bulbs/ vacuum bulbs not exceeding 100 watts), Compact Flourescent Lamps, flourescent lighting tubes and their fittings including chokes and starters.NOTES:- Compact Flourescent Lamps added from 18th August 2001 by Act No.23 of 2001. It was previously taxable at 2 per cent from 1st April 1999.First Sale 8% w.e.f 17.07.1996 by Act No.37 of 1996The First Schedule – Part DD----4/7 https://www.mhc.tn.gov.in/judis W.P.Nos.8763 & 8764 of 2008--------------------------------------Sl. No.Description of GoodsPoint of Levy in th State Rate of Tax22Electrical instruments, apparatus, applianes of all kinds, (other than those specified elsewhere in this Schedule) including exhaust fans, air circulators, vacuum and gs filled bulbs, sodium and mercury vapour discharge lamps, chandeliers and their shades, protectors, stands, fixtures, fittings, brackets, torches, emergency lamps, and emergency lighting systems notwithstanding their containing any electronic control circuiting rectifiers, sound or visual signalling apparatus such as bells, sirens, indicator panels, burglar or fire alarms, parts and accessories of all such goods. First Sale 12% w.e.f 01.04.20004. A reading of the above Entries makes it clear that the petitioner cannot claim the air curtains sold by the petitioner merits classification under Entry 17 of part C. Therefore, we find no merit in the present Writ Petitions. The Writ Petitions are liable to be dismissed and are accordingly dismissed. There shall be no order as to costs. (S.M.S., J.) (C.S.N., J.) 09.09.2025dsaInternet:Yes/NoIndex:Yes/NoNeutral Citation :Yes/NoSpeaking/Non-speaking orderTo:----5/7 https://www.mhc.tn.gov.in/judis W.P.Nos.8763 & 8764 of 2008--------------------------------------1.The Commercial Tax Officer, Porur Assessment Circle, Chennai – 600 087.2.The Deputy Commissioner CT, State of Tamil Nadu, Chennai, East Division. 3.The Secretary, Sales Tax Appellate Tribunal, (Main Bench), Chennai – 600 104. ----6/7 https://www.mhc.tn.gov.in/judis W.P.Nos.8763 & 8764 of 2008--------------------------------------S.M.SUBRAMANIAM, J.andC.SARAVANAN, J.dsaW.P.Nos.8763 and 8764 of 200809.09.2025----7/7
W.P.Nos.8763 & 8764 of 2008--------------------------------------THE HIGH COURT OF JUDICATURE AT MADRASDATED: 09.09.2025CORAM:THE HONOURABLE MR.JUSTICE S.M.SUBRAMANIAMANDTHE HONOURABLE MR.JUSTICE C.SARAVANANW.P.Nos.8763 and 8764 of 2008M/s.Almonard Limited, Rep. by its Power of Attorney Mr.R.Raghupathy, No.439/3-B, E.N.I. Estate, Alapakkam, Chennai – 600 116. ...Petitioner in both the WPsVs.1.The Commercial Tax Officer, Porur Assessment Circle, Chennai – 600 087.2.State of Tamil Nadu, Rep. by the Deputy Commissioner CT, Chennai, East Division. 3.The Secretary, Sales Tax Appellate Tribunal, (Main Bench), Chennai – 600 104. ...Respondents in both the WPsPRAYER in W.P.No.8763 of 2008: This Petition filed under Article 226 of the Constitution of India praying to issue a Writ of Certiorarified Mandamus, calling for the records in Proceedings STA No.196/2004 on the file of the third ----1/7 https://www.mhc.tn.gov.in/judis W.P.Nos.8763 & 8764 of 2008--------------------------------------respondent and quash its order dated 01.02.2008 upholding the levy of Sales Tax at the rate of 12% under Entry 22 of Part DD of the First Schedule and direct the third respondent to dispose of on merits. PRAYER in W.P.No.8764 of 2008: This Petition filed under Article 226 of the Constitution of India praying to issue a Writ of Certiorarified Mandamus, calling for the records in Proceedings COP No.37/2004 on the file of the third respondent and quash its order dated 01.02.2008 and direct the third respondent to dispose of the Memorandum of Cross Objections on merits. For Petitioner : Mr.A.Gopalakrishnan in both the WPsFor Respondents: Mr.TNC.Kaushik, Addl. Govt. Pleader in both the WPs*****O R D E R(Order of the Court was made by C.SARAVANAN, J.)The present Writ Petitions are directed against the impugned order dated 01.02.2003 passed by the 3rd respondent, Sales Tax Appellate Tribunal, Chennai in STA.No.196 of 2004 and COP.No.37 of 2004. 2. By the impugned order, the appeal of the respondent State against the order of the Appellate Commissioner dated 09.03.2004 has been allowed. The dispute in the present case pertains to rate of tax of air curtains. The contention ----2/7 https://www.mhc.tn.gov.in/judis W.P.Nos.8763 & 8764 of 2008--------------------------------------of the petitioner is that the air curtains traded by the petitioner would attract tax at 8% as that of the electrical fans in terms of Entry 17 of Part C of the First Schedule to the Tamil Nadu General Sales Tax Act, 1959. On the other hand it is the view of the Tribunal that the petitioner would be liable to pay tax at 12% in terms of Entry 22 of part DD of the First Schedule to the Tamil Nadu General Sales Tax Act, 1959 passed with effect from 01.04.2000.The operative portion of the impugned order of the Tribunal reads as under: 9. Air curtain is a sheet of moving air that is blown down as open doorway or across some other open area. It is an environmental separation equipment which prevents outside air, insects or hot air entry to the conditional area through the open doorways. The principle of Air Curtain is that it blows the atmosphere air at constant velocity at the doorways and forms an air stream for the entire width and height of the door openings. The velocity will vary depending on the effective throw of the air stream. Moreover, it can reduce the energy consumption considerably by holding the uniform cold air temperature at the air-conditioned area. In total, it is an energy conservation unit for the air conditioned area. It minimises the loss of heated or cooled air from the building almost like real door. It also prevents insects, rain and dust from the outside entering the building. Some Air curtains can handle heated air during the winter months. The Air curtain unit is also fitted with motors and impellers. ----3/7 https://www.mhc.tn.gov.in/judis W.P.Nos.8763 & 8764 of 2008-------------------------------------- Hence, it is clear from the description that air curtains have more salient features and characteristics than that of an electrical fan and hence are different and cannot be classified as an electircal fan. Therefore, the contention of the assessee that air curtains are taxable at 8% as electrical fans is not correct. Hence, the assessment made by the assessing authority under Entry 22 of Part DD of the first schedule at 12% is in order and accordingly, the assessment on the turnover of Rs.8,44,370/- at the differential rate of 4% is restored. 3. The relevant entries are extracted below:-The First Schedule – Part CSl. No.Description of GoodsPoint of Levy in th State Rate of Tax17Electrical fan of all types, electrical lighting bulbs (including gas filled bulbs/ vacuum bulbs not exceeding 100 watts), Compact Flourescent Lamps, flourescent lighting tubes and their fittings including chokes and starters.NOTES:- Compact Flourescent Lamps added from 18th August 2001 by Act No.23 of 2001. It was previously taxable at 2 per cent from 1st April 1999.First Sale 8% w.e.f 17.07.1996 by Act No.37 of 1996The First Schedule – Part DD----4/7 https://www.mhc.tn.gov.in/judis W.P.Nos.8763 & 8764 of 2008--------------------------------------Sl. No.Description of GoodsPoint of Levy in th State Rate of Tax22Electrical instruments, apparatus, applianes of all kinds, (other than those specified elsewhere in this Schedule) including exhaust fans, air circulators, vacuum and gs filled bulbs, sodium and mercury vapour discharge lamps, chandeliers and their shades, protectors, stands, fixtures, fittings, brackets, torches, emergency lamps, and emergency lighting systems notwithstanding their containing any electronic control circuiting rectifiers, sound or visual signalling apparatus such as bells, sirens, indicator panels, burglar or fire alarms, parts and accessories of all such goods. First Sale 12% w.e.f 01.04.20004. A reading of the above Entries makes it clear that the petitioner cannot claim the air curtains sold by the petitioner merits classification under Entry 17 of part C. Therefore, we find no merit in the present Writ Petitions. The Writ Petitions are liable to be dismissed and are accordingly dismissed. There shall be no order as to costs. (S.M.S., J.) (C.S.N., J.) 09.09.2025dsaInternet:Yes/NoIndex:Yes/NoNeutral Citation :Yes/NoSpeaking/Non-speaking orderTo:----5/7 https://www.mhc.tn.gov.in/judis W.P.Nos.8763 & 8764 of 2008--------------------------------------1.The Commercial Tax Officer, Porur Assessment Circle, Chennai – 600 087.2.The Deputy Commissioner CT, State of Tamil Nadu, Chennai, East Division. 3.The Secretary, Sales Tax Appellate Tribunal, (Main Bench), Chennai – 600 104. ----6/7 https://www.mhc.tn.gov.in/judis W.P.Nos.8763 & 8764 of 2008--------------------------------------S.M.SUBRAMANIAM, J.andC.SARAVANAN, J.dsaW.P.Nos.8763 and 8764 of 200809.09.2025----7/7