9911796707
TMI Blog1976 (3) TMI 156X X X X Extracts X X X X X X X X Extracts X X X X ..... whether sales of are carbons, known as "cinema are carbons", manufactured by the appellant-company, were rightly subjected to sales tax for two assessment years 1965-66 and 1966-67 on the ground that they fall under entry No. 4 of the First Schedule of the Andhra Pradesh General Sales Tax Act, 1957 (hereinafter referred to as "the Act"). This entry reads as follows: "Cinematographic equipment, including cameras, projectors, and sound recording and reproducing equipment lenses, films and parts and accessories required for use therewith. " As indicated above, the very name of the arc carbons, as commercial commodities, seems to attach the word "cinema" to them because of the use to which they are generally put. The High Court referred to t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e High Court, two decisions cited on behalf of the appellants were Deputy Commissioner of Commercial Taxes, Madurai Division, Madurai v. Ravi Auto Stores [1968] 22 S.T.C. 172 (Mad.)., and State of Madras v. Indian Oxygen Ltd. [1968] 22 S.T.C. 476 (Mad.). The High Court pointed out that in both these cases what was decided was whether "welding electrodes", considered by themselves, were "electrical goods" falling within entry 41 of Schedule I of the Madras General Sales Tax Act. It was held, in these cases, that they were only copper rods which were melted by electrical power in the process of welding. Neither the use of the term "electrode" to describe them, suggesting a connection with electricity, nor their utilisation in a process involv ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ats are not covered by entry No. 34 introduced by section 3-A of the U.P. Sales Tax Act, 1948, as modified subsequently, which read: "bicycles, tricycles, cycle rickshaws and perambulators and parts and accessories thereof other than tyres and tubes"; Madhya Pradesh State Co-operative Marketing Society, Jabalpur v. Commissioner of Sales Tax, M.P., Indore [1971] 27 S.T.C. 45., where it was held that "oil-engines and pumps", which are not known in the commercial world as "agricultural machinery", could not be covered by an entry meant for goods sold for agricultural purposes simply because some of them are also sold to agriculturists for agricultural purposes. We do not think that any useful purpose is served by multiplying cases relating to ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... es of motor vehicles". Entry No. 2, relating to refrigerators, air-conditioning plants, covers also "component parts thereof". Again, entry No. 3 for "wireless reception instruments and apparatus" includes "electrical valves, accumulators, amplifiers and loud-speakers and spare parts and accessories thereof". The words "parts thereof" are used in several entries, such as entry No. 6 for clocks, time-pieces and watches, entry No. 10 for dictaphones and other similar apparatus for recording sound, and entry No. 11 for sound transmitting equipment such as telephones and loud-speakers. Our object in indicating the nature of entries, amidst which entry No. 4 occurs, is to show that some precision has been attempted in making the entries. When i ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... jectors or other cinematorgraphic equipment. We think that the Andhra Pradesh High Court correctly held that the main use of the arc carbons under consideration was duly proved to be that of production of powerful light used in projectors in cinemas. The fact that they can also be used for searchlights, signalling, stage lighting, or where powerful lighting for photography or other purposes may be required, could not detract from the classification to which the carbon arcs belong. That is determined by their ordinary or commonly known purpose or user. This, as already observed by us, is evident from the fact that they are known as "cinema arc carbons" in the market. This finding was enough, in our opinion, to justify the view taken by the A ..... X X X X Extracts X X X X X X X X Extracts X X X X
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