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TMI Blog1971 (11) TMI 149X X X X Extracts X X X X X X X X Extracts X X X X ..... r seeds) are oil-seeds within the meaning of that expression under section 14(vi) of the Central Sales Tax Act, 1956, and it was so held that the turnover relating to the sale of coriander seeds are taxable only at a single point. On behalf of the revenue it is urged that coriander seeds are not oil-seeds and so the turnover relating to the sale of those seeds are taxable at all points of sale. 2.. Section 14(vi) of the Central Sales Tax Act, 1956, is in these terms: "14. It is hereby declared that the following goods are of special importance in inter-State trade or commerce ..... (vi) oil-seeds, that is to say, seeds yielding non-volatile oils used for human consumption, or in industry, or in the manufacture of varnishes, soaps and ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of the Central Sales Tax Act, 1956 (Central Act 74 of 1956), other than coconut and copra, groundnut and cardamom." 4.. Item 2 uses the expression "as defined in section 14 of the Central Sales Tax Act", and a view has been taken in a number of decisions that what is stated in section 14 is a definition of the term "oil-seeds" and that therefore when the definition is satisfied, a seed which may not be an oil-seed in common parlance will have to be held to be an "oil-seed" for the purposes of section 14(vi) and so for the purposes of sales tax. 5.. The decision relied on by the Tribunal in State of Orissa v. Dinabandhu Sahu Sons[1969] 24 S.T.C. 233. also proceeds on the above basis that section 14(vi) of the Central Sales Tax Act, 19 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... and the like, or in lubrication, and volatile oils used chiefly in medicines, perfumes, cosmetics and the like" are merely illustrative or explanatory of oil-seeds and are not words of limitation and not intended to qualify or modify the meaning of the expression "oil-seeds". It is further urged that these expressions like oil-seeds, vegetables, green ginger, coal etc., occurring in taxing statutes must be understood according to how they are understood in common parlance, as understood by the common man and not in a technical sense nor should the dictionary meanings of such expressions or the technical meaning be applied. In support of the contention that the words in section 14(vi) of the Central Sales Tax Act, 1956, commencing with 'tha ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nd'. 'Rights in land' must include general rights like full ownership or leasehold or all such rights. Rights over land' would include easements or other collateral rights, whatever form they might take. Then follow words which are not words of limitation but of explanation or illustration, giving instances which may furnish a clue for particular matters, thus there are the words 'relation of landlord and tenant and collection of rents'. These words are appropriate to lands which are not agricultural equally with agricultural lands." These observations were no doubt made by the Federal Court and the Privy Council with reference to the entries in the List of the Seventh Schedule to the Government of India Act, 1935, and therefore while inter ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... occurring in item 6 of Schedule II of the C.P. and Berar Sales Tax Act, 1947, came up for consideration. Their Lordships held that the expression "must be construed not in any technical sense nor from the botanical point of view but as understood in common parlance. It gas not been defined in the Act and being a word of every day use it must be construed in its popular sense meaning 'that sense which people conversant with the subject-matter with which the statute is dealing would attribute to it'. It is therefore to be understood as denoting class of vegetables which are grown in a kitchen garden or in a farm and are used for the table. Consequently 'betel leaves' are not vegetables and would not be exempt from sales tax under item 6 of S ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... a term that will invariably prevail in the construction of a statute. The rule of interpretation in such cases is that particular words used by the Legislature in the denomination of articles should be understood according to the common commercial understanding of the term used and not in their scientific or technical sense, for the Legislature does not suppose our merchants to be naturalists, or geologists or botanists." 11.. The question whether dhania is oil-seed or not has therefore to be determined on the basis of the principles we have enunciated above. This has not been done. The Tribunal proceeded on the basis of the decision of the Orissa High Court in State of Orissa v. Dinabandhu Sahu Sons(1), which in turn proceeded on the b ..... X X X X Extracts X X X X X X X X Extracts X X X X
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