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TMI Blog1970 (3) TMI 113X X X X Extracts X X X X X X X X Extracts X X X X ..... , "tobacco and all its products" were exempted during the relevant period under section 6 of the Orissa Sales Tax Act from payment of sales tax. The short question is whether mitha gundi is a tobacco product. In mitha gundi tobacco constitutes 10 per cent. according to the case of the petitioner. The Tribunal observed that "assuming that mitha gundi was prepared according to this formula (about which there is no satisfactory material), even then the percentage is very small and it cannot make the gundi a tobacco product." 3.. The learned standing counsel contends that in order to be a tobacco product, the product must contain essentially the characteristics of tobacco. As in mitha gundi the tobacco contents constitute 10 per cent. or less ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ada gundi. A person taking to sada gundi mainly consisting of dhania and panmahuri would never touch the other types of gundi. It would appear from the aforesaid analysis that mitha gundi has its attractiveness for the intermediate class of consumers because of its low percentage of intoxicating ingredient. To them the tobacco contents make all the difference. In common parlance, therefore, mitha gundi will be taken to be a gundi for that class of consumers and to the sellers of such gundi. In that sense one must have to take it as a tobacco product. 5.. As has already been stated, it is difficult to get any guidance in such cases without a clear-cut definition being laid down what tobacco products mean. In Commissioner of Sales Tax, Madh ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... g counsel, that mitha gundi is a tobacco preparation and not a tobacco product cannot be accepted in view of this decision which held that zarda was a tobacco product even though some constituents of it were not tobacco. 6.. From the aforesaid analysis a reasonable principle can be deduced in this way: How is a particular commodity having tobacco contents treated by a particular class of consumers and sellers? If with the consumers a particular commodity is very popular on account of its having tobacco contents, then to that class of consumers it is a tobacco product. In other words, persons who cannot at all take mitha gundi despite low percentage of tobacco, must take it as a tobacco product and will be reluctant to purchase such articl ..... X X X X Extracts X X X X X X X X Extracts X X X X
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