Mere opening, breaking or uncorking of liquor bottle by twisting seal not amounts to “Scrap” from “Mechanical Working of Material” u/s 206C of Income Tax Act: Madras HC [Read Order]

In a writ petition filed by M/s.Tamil Nadu State Marketing Corporation Ltd the Madras HC observed that mere opening, breaking or uncorking of a liquor bottle by mere twisting the seal in a liquor bottle will not amount to generation of “scrap” from “mechanical working of material” for the purpose of explanation to Section 206C of the Income Tax Act
Liquor Bottle Taxation - Madras High Court - Mechanical Working of Material - Tax on Liquor Sales - Scrap - Liquor Bottle - taxscan

In a recent decision the Madras High Court observed that mere opening, breaking or uncorking of liquor bottle by twisting seal not amounts to “scrap” from “mechanical working of material” under Section 206C of the Income Tax Act, 1961. By the impugned orders dated 30.05.2023, the respondent has treated the petitioner as an “assessee in…

Your free access to Taxscan has Expired

To read the article, get a premium account.

Taxscan Premium

Why should you subscribe?
  • Enjoy our website without interruptions from advertisements
  • Receive Daily newsletters
  • Receive realtime Telegram/Whatsapp news updates
  • Download original Judgements / Order / Notifications / Circulars, etc
  • Enjoy exclusive entry fees to Simplified series. (Webinars, Seminars, masterclasses, etc.)
  ₹1599 + GST for 1 year

Subscribe Now

taxscan-loader