1972 (11) TMI 76 - SC - VAT and Sales Tax

Whether chillies and lemons were vegetables within the meaning of the Orissa Sales Tax Act, 1947? Held that - Appeal allowed. Unable to accept this assertion that in Orissa chillies and lemons are not used as articles of food. Even if a section of Oriyas have a dislike for chillies and lemons, they do not cease to be vegetables for that reason. In common parlance chillies and lemons are known as vegetables. We have no doubt that chillies and lemons have always been considered as vegetables. In that view it is not necessary for us to go into the question whether at any rate they are fruits, sales or purchases of which are exempt from sales tax.

Summary

The Supreme Court considered whether chillies and lemons are "vegetables" under the Orissa Sales Tax Act. The Court disagreed with the Orissa High Court's interpretation and held that chillies and lemons are indeed vegetables in common parlance. The appeal was allowed, the High Court's decision was set aside, and the assessments were quashed. The respondent was ordered to pay costs, and any collected sales tax was to be refunded by the State.