Latest Expert Exchange Queries
sitemapHome | Registration | Job Portal for CA's | Expert Exchange | Currency Converter | Post Matrimonial Ads | Post Property Ads
 
 
News shortcuts: From the Courts | News Headlines | VAT (Value Added Tax) | Service Tax | Sales Tax | Placements & Empanelment | Various Acts & Rules | Latest Circulars | New Forms | Forex | Auditing | Direct Tax | Customs and Excise | ICAI | Corporate Law | Markets | Students | General | Indirect Tax | Mergers and Acquisitions | Continuing Prof. Edu. | Budget Extravaganza | Transfer Pricing
 
 
 
 
Popular Search: VAT RATES :: form 3cd :: ACCOUNTING STANDARDS :: ICAI offer Get Windows 7,Office 2010 in Rs.799 Taxes :: TDS :: cpt :: VAT Audit :: ACCOUNTING STANDARD :: empanelment :: articles on VAT and GST in India :: list of goods taxed at 4% :: TAX RATES - GOODS TAXABLE @ 4% :: Central Excise rule to resale the machines to a new company :: due date for vat payment :: ARTICLES ON INPUT TAX CREDIT IN VAT
 
 
From the Courts »
 Ravneet Takhar Vs. Commissioner Of Income Tax Ix And Ors.
 Jaiprakash Associates Ltd. Vs. Commissioner Of Income Tax
 Formula One World Championship Limited Vs. Commissioner Of Income Tax, International Taxation-3 And Anr.
 Commissioner Of Income Tax International Taxation-3 Delhi Vs. Formula One World Championship Ltd. And Anr.
 Reliance Communications Ltd vs. DDIT (ITAT Mumbai)
  Sushila Devi vs. CIT (Delhi High Court)
 Ashok Prapann Sharma vs. CIT (Supreme Court)a
  Vatsala Shenoy vs. JCIT (Supreme Court)
  Vatsala Shenoy vs. JCIT (Supreme Court)
 M.K.Overseas Pvt. Ltd. Vs. Pr.Commissioner Of Income Tax-06
 Arshia Ahmed Qureshi Vs. Pr. Commissioner Of Income Tax-21

Vaseline is a drug, not cosmetic, rules SC
May, 23rd 2008
The Supreme Court on Friday held that white petroleum jelly or popularly known as Vaseline was a drug and not a cosmetic even if it had no curative value, thus could be taxed at the rate of 12 per cent under the UP Trade Tax Act.

A bench headed by Justice S B Sinha while allowing a petition filed by Pond's India (merged with Hindustan Unilever) ruled that Vaseline was a pharmaceutical preparation as it was used for cure and treatment of various skin disorders and not for beautification or care of the skin in the normal circumstances. it cannot be a drug within the meaning of the provisions of the UP Trade Tax Act.

The Income Tax Appellate Tribunal for assessment years 1990-91, 1991-92, 1992-93 had held that Vaseline white petroleum jelly should be taxed at the rate of 12 per cent as "cosmetics and toilet preparation".

However, the Allahabad High Court had dismissed the Ponds petition against the tribunal's order on October 2005.

According to the apex court, a drug as defined in the Drugs and Cosmetics Act, 1940 would not only include a medicine which is used for external use of human beings, but also if used for prevention of any disease or disorder in human beings.

"The said definition is an extensive one. It even applies to preparations applied on human body for the purpose of killing insects like mosquitoes, which per se does not have any medicinal or any value for curing any disease or disorder in human beings," the court said.

While stating that the petroleum jelly was treated to be a "drug", the judgement said that a license was required for its production, it also finds place in Indian Pharmacopeia and does not contain any perfume. "A cosmetic ordinarily would contain some perfume," Justice Sinha said.

 
 
Home | About Us | Terms and Conditions | Contact Us
Copyright 2016 CAinINDIA All Right Reserved.
Designed and Developed by Binarysoft Technologies Pvt. Ltd.
Software Outsourcing Company Offshore Software Outsourcing Software Outsourcing Company India Offshore Outsourcing Company India Software BPO Software Business Process Outsourcing Software Outsourcing India Offsho

Transfer Pricing | International Taxation | Business Consulting | Corporate Compliance and Consulting | Assurance and Risk Advisory | Indirect Taxes | Direct Taxes | Transaction Advisory | Regular Compliance and Reporting | Tax Assessments | International Taxation Advisory | Capital Structuring | Withholding tax advisory | Expatriate Tax Reporting | Litigation | Badges | Club Badges | Seals | Military Insignias | Emblems | Family Crest | Software Development India | Software Development Company | SEO Company | Web Application Development | MLM Software | MLM Solutions