1977 (1) TMI 134

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..... ustan Lever Limited called "Vim" sold under that trade name in the market can be considered to be a soap for the purpose of entry 48 in the First Schedule to the Andhra Pradesh General Sales Tax Act. By virtue of section 5(2)(a), the sales tax at the rate mentioned in the schedule has to be levied only at the point of first sale and not for subsequent sales. The petitioners in the writ petitions a .....

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..... nal further observed: "The preparation of 'Vim' differs from the preparation of soap, which is used for washing purposes. The materials that go into the preparation of 'Vim' are entirely different from the ones that go in the making of 'soap'. 'Vim' contains: (i) water soluble carbonates present as sodium carbonate (soda-ash); (ii) water insoluble carbonates present as calcium carbonate; ( .....

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..... istory of soap-making and how, from time to time, different types of fatty acids have been used for the purpose of soap. making. Different types of soaps meant for different purposes are, as pointed out in Encyclopaedia Britannica, used throughout the world and the only question is whether "Vim", which is used for cleansing purposes, can be considered to be "soap". Unfortunately, the material whic .....

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..... carbonates, etc., or with the addition of perfumes and colours different types of soaps meant for different purposes are prepared. So far as scouring powders like "Vim" are concerned, in addition to the soap base, silica and builders like sodium silicates, sodium phosphates, sodium carbonates, etc., are added. Thus, it is clear that soap base into which have gone nut oils, hard fats, soft oils or .....

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..... In each of the writ petitions, the relief sought for is granted and the sales tax authorities are directed to proceed on the footing that "Vim " is soap and falls within the purview of item 48 of the First Schedule to the Act. The petitioner in each of these four matters succeeds. Rule is made absolute. The respondents in each of these four matters will pay the costs of the respective petitioners .....

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