1973 (2) TMI 126 - HC - VAT and Sales Tax

Summary

Issues:
Interpretation of whether 'bran' (chokar of wheat or gram) falls under item 15 of Schedule B to section 6 of the Punjab General Sales Tax Act, 1948.

Analysis:
The Sales Tax Tribunal, Punjab, held that chokar of wheat is husk and falls under item 15 of Schedule B of the Act. The Tribunal relied on various definitions of 'bran' to establish that it is the husk of wheat separated from the flour after grinding, used as a feeding stuff for animals. The Tribunal emphasized that outer husks of wheat are of no value and not marketable, unlike chokar. The Tribunal concluded that wheat chokar is covered by item 15 of Schedule B.

In a separate case, a Division Bench held that gram chhilka, the brown skin taken off the seed, is either gram husk or fodder, exempt from sales tax. Another Division Bench concluded that the word 'chokar' is included in the word 'husk' in item 15 of Schedule B. The judges referred to various dictionaries to establish the meaning of 'husk' and 'bran', noting that 'bran' encompasses chokar as well.

The High Court, concurring with the reasoning of the previous Division Benches, answered the question in the affirmative. The Court highlighted that the issue had already been addressed by the prior decisions, leading to a consistent interpretation. No costs were awarded due to the existing judgments during the pendency of the references.

In conclusion, the judgment clarifies that 'bran', specifically chokar of wheat or gram, falls within the scope of item 15 of Schedule B to the Punjab General Sales Tax Act, 1948, as it is considered as husk based on the definitions and interpretations provided by the Tribunal and previous Division Benches.