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TMI Blog1971 (6) TMI 54X X X X Extracts X X X X X X X X Extracts X X X X ..... e petitioner is a printing press known as M/s. S.R.P. Works and Ruby Press, Kakinada. It supplied cinema tickets printed on different colour papers and of different denominations to the customers, both within the State and outside. Before the customers place the orders for supply of large quantities, they obtain samples and then place orders giving specifications. The printers, while making out bills, gave break-up figures, showing the cost of paper and the cost of printing separately and the total cost. No formal agreements were entered into. But orders were placed by the customers stating the quantity required and the type of paper that has to be used for printing the tickets. The assessing authority only assessed on the value of the pape ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... and sometimes in writing and in these cases written orders were placed by the customers. The intention of the parties whether the contract was for sale of finished goods or only for sale of paper can easily be ascertained from a reading of the orders, pursuant to which the printed material was supplied to several customers. The four orders which have been exhibited read: 1.. Order of Sri Venkateswara Palace, Venkatagiri Town, Nellore District, dated 25th February, 1964. "We are hereunder placing an order for the following tickets which please receive and send us the printed tickets at an early date as we are badly in need of the said tickets: Chair-Yellow-1 to 5,000 Bench-Green-1 to 10,000 (20,000) Floor-Rose-1 to 10,000 (each bundle) (7 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... fferent colours 1 to 10,000 each. Please supply the above tickets neatly printed at your earliest convenience and oblige. Thanking you..." 4.. Order of Sri Balaji Picture Palace, Uravakonda, dated 27th February, 1964: "Please supply the following cinema tickets to the above address in an early date. Consignment may kindly be booked to Guntakal R.S. and the relative R.R. and bills may be sent through the Canara Industrial and Banking Syndicate Ltd., Uravakonda. The sample tickets are also enclosed for your guidance. Please supply L. floor tickets in yellow colour and children in white or orange and the rest in usual colour. Tickets may be supplied in books of 500 tickets. Tickets to be supplied: Variety S. No. from to No. sets 1. M. F ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... he specifications and delivered to the buyer that the property in the goods passes to the buyer and not otherwise. As has been posed and answered by their Lordships in Patnaik & Co. v. The State of Orissa[1965] 16 S.T.C. 364 at 376 (S.C.). "Suppose a fire were to take place on the premises of the appellant and before delivery the bus bodies were destroyed or spoilt. On whom would the loss fall? There can only be one answer to this question and that is that the loss would fall on the appellant." Similarly in these cases, if there were to be some mishap in the press and the tickets were destroyed or otherwise lost, it would follow that until the delivery is made the printed goods (tickets) would remain the property of the petitioner and not ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... property, it cannot come within the meaning of "works contract". In a similar case of a printing press the business of which was to print on orders, letter heads, bill books, account books in The State of A.P. v. Sri Krishna Power Press, Vizianagaram(1), the learned judges repelled the contention of the assessee that the works involved in that case constituted works contract. Suffice it to say that therefore a transaction which results in transfer of property in finished goods, as in these cases cinema tickets printed to certain specifications, cannot be construed as a works contract. The transactions are sales within the meaning of clause (n) of section 2 of the Andhra Pradesh General Sales Tax Act. The fact that the finished products (c ..... X X X X Extracts X X X X X X X X Extracts X X X X
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