Created by Fuzzy Cloud

Bombay High Court

THE COMMISSIONER OF SALES TAX, M.S., MUMBAIversusTATA IRON AND STEEL CO. LTD.

Decided
Disposal
DISPOSED OFF

Holding

The reference was disposed of without answering the question of law due to the absence of a live issue.

Summary

The Maharashtra Sales Tax Tribunal referred a question of law to the Bombay High Court concerning whether the conversion of hot rolled steel to cold rolled steel, including thickness reduction, constitutes 'manufacture' under Section 2(17) of the Bombay Sales Tax Act, 1959. The Commissioner of Sales Tax (applicant) sought clarification, while Tata Iron and Steel Co. Ltd (respondent) argued that the tax liability had already been fully paid, leaving no live issue. Both parties' counsel reiterated that there was no remaining dispute for adjudication. The Court noted the submissions and the absence of a live controversy, and consequently declined to answer the substantive question. The reference was therefore disposed of, with the legal question left open for determination in any future appropriate proceeding.

Issues considered

  • Whether the process of converting hot rolled sheet/strips/coils to cold rolled sheet/strips/coils, including thickness reduction, amounts to 'manufacture' within the meaning of Section 2(17) of the Bombay Sales Tax Act, 1959.

Legislation cited

Subjects

  • sales tax
  • manufacture definition
  • conversion process
  • reference jurisdiction
  • live issue
  • Bombay Sales Tax Act

Judgment

          Digitally signed
          by MAYUR
MAYUR    KONDIRAM
KONDIRAM ADANE
ADANE    Date:
          2026.08.19
          18:29:01 +0530
                                                                            14-STR-83-2010 (OS).DOC




                                                                                              Mayur

                                     IN THE HIGH COURT OF JUDICATURE AT BOMBAY
                                         ORDINARY ORIGINAL CIVIL JURISDICTION

                                          SALES TAX REFERENCE NO. 83 OF 2010


                             The Commissioner Of Sales                                 … Applicant
                             Tax, M.S., Mumbai
                                    Versus
                             Tata Iron And Steel Co. Ltd                            …Respondent



                             Ms. Jyoti Chavan, Addl. G.P, for the Applicant.
                             Mr. Samkit Shah, i/b Mulla and Mulla & Craigie Blunt and Caroe,
                                   for the Respondent.


                                                  CORAM:        SUMAN SHYAM &
                                                                ADVAIT M. SETHNA, JJ.
                                                  DATED:        18th AUGUST 2026.
                             PC:-


                             1.     This sales tax reference arises out of the order dated 28th

                             March 2009 passed by the learned Maharashtra Sales Tax Tribunal,

                             Mumbai, in Reference Application No. 128 of 2008, whereby the

                             learned Tribunal has formulated a question of law and referred the

                             matter to this Court for answering the reference.

                             2.     The question of law so formulated is as under :-

                                     “Whether on the facts and circumstances of the case,
                                    the Tribunal was justified in law in holding that the
                                    ‘process of conversion of hot rolled sheet/strips/coil




                                                           Page 1 of 2
                                               14-STR-83-2010 (OS).DOC




       to cold rolled sheet/strips/coils (inclusive that of
       reducing thickness in the process of cold rolling); as
       per requirement, does not amount to ‘manufacture’
       within the meaning of the said Term as defined in
       Section 2(17) of the Bombay Sales Tax Act, 1959.”

3.    When the matter was called up, Mr. Samkit Shah, learned

counsel appearing for the Respondent, submitted that the

Respondent has already paid the entire amount to the Department

and, therefore, no live issue survives in the present proceedings. In

support of the above submission, Mr. Shah, learned counsel for the

Respondent, has produced a copy of the order in Appeal dated 4 th

March 2024, which is taken on record and marked “X” for

identification.

4.    Ms. Chavan, learned counsel, also submits that there is no

live issue surviving for consideration in the present proceedings. As

such, the reference is returned unanswered. However, the question

of law framed by the learned Tribunal is kept open to be answered

in an appropriate proceeding in accordance with law.

5.    Reference stands disposed of.




(ADVAIT M. SETHNA, J.)                         (SUMAN SHYAM, J.)
                                                                     {




                              Page 2 of 2


Continue reading with your account

Sign in to read the full judgment. It’s free.

Sign in to read

Checking your session…

Lawyer court records for this case

Associated through the court’s case reference.

For a signed copy suitable for filing, refer to the court's website.