1978 (7) TMI 234 - HC - VAT and Sales Tax

Summary

Issues: Interpretation of the term 'ready-made garments' under a specific notification for sales tax purposes.

In this judgment by the Allahabad High Court, the issue revolved around whether caps made of fur and velvetine, known as Rampuri caps, sold by the assessee, fell under the category of 'ready-made garments other than those made out of woollen cloth' as per a specific notification dated 1st December, 1962. The court analyzed the dictionary meaning of 'garment' as an article of clothing and interpreted the Hindi version of the notification which used the term 'paridhan'. The standing counsel argued that the term 'paridhan' indicated a broad scope encompassing all items used for covering the body, not just dresses. Reference was made to previous cases where similar interpretations were made regarding the term 'garment' in relation to hosiery goods. The court emphasized that the primary meaning of 'garment' includes any article of clothing used to cover the body, whether visible or not, and concluded that caps, being headgear and outerwear, qualified as garments under the notification. The court rejected the distinction between outerwear and underwear, stating that the use of covering the human body defines the term 'garment'. Consequently, the court answered the question in favor of the Commissioner of Sales Tax, affirming that the caps sold were indeed covered under the expression of 'ready-made garments' in the notification, thereby upholding the levy of sales tax on the assessee.

This judgment provides a detailed analysis of the term 'garment' within the context of a specific sales tax notification, emphasizing the broad and inclusive nature of the term to encompass various articles of clothing used for covering the body. The court's interpretation focused on the primary function of clothing as a covering for the human body, rejecting distinctions based on visibility or specific garment types. By referencing previous cases and dictionary definitions, the court established a comprehensive understanding of 'garment' to include items like caps, mufflers, and topas within the category of ready-made garments. The judgment highlights the importance of linguistic interpretation and the broader legislative intent behind tax notifications to ensure a consistent application of tax laws.