Observation & Judgement:
➢ To suit the purpose and object of the IT Act, Parliament has defined the expression,
“computer” by giving it a very wide meaning, At the same time, by using the expression,
“means” immediately after the words, “computers” the legislature makes it clear that the
definition is exhaustive and no other meaning can be assigned to the expression, than
what is included in the definition.
➢ The court took the view that ATM machines are not computers but are electronic devices
that will attract a higher duty of 12 per cent basic tax under Karnataka Sales Tax Act,
- The court took the view that ATM is not a computer itself though it may be
connected with computers and a wide definition of a computer as defined in IT Act, 2000
is inapplicable while interpreting a tax law such as Karnataka Sales Tax Act, 1957. In my
view, ATM is itself a ‘computer’ and definition of a computer in the IT Act, 2000 should
apply with equal force while interpreting a tax statute.
