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TMI Blog1982 (2) TMI 285X X X X Extracts X X X X X X X X Extracts X X X X ..... in respect of sales of woollen pullovers and cardigans the assessing authority applied a rate of 6 per cent treating them to be "woollen goods" under entry 106 of Notification No. ST-II-332/X-1012-1971 dated 15th November, 1971, whereas the claim of the assessee was that woollen cardigans and pullovers were covered by entry 1 "hosiery of all kinds other than that made of pure cotton" under Notification No. ST-II-334/X-1012-1971 dated 15th November, 1971, liable to be taxed at the rate of 3 1/2 per cent. The petitioner feels aggrieved with this assessment order and has prayed for a writ of certiorari for quashing the same and also for a writ of mandamus directing the respondents not to treat pullovers and cardigans as woollen goods. Before ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... tar Pradesh, the point at which tax was attracted was sale by the importer. The entry in respect of hosiery continued except for change of rate and point of tax till 1961. By Notification No. ST-1281 dated 1st October, 1961, the entry was amended as below: "Hosiery of all kinds other than woollen hosiery." The rate of tax was to be 1 per cent. As for woollen hosiery and readymade garments of woollen cloth, the amendment was made by Notification No. ST-1281-A of even date and it read as under: "Woollen goods excluding carpets but including knitting wool, woollen hosiery and ready-made garments made out of woollen cloth." The rate of tax was fixed at 6 per cent. Both these notifications came to be modified in 1962 by Notifications ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... From a brief resume of these entries it would appear that from 1948 to 1961 there was a single entry in respect of both cotton and woollen hosiery and then from 1961 to 1969 woollen hosiery came to be included in woollen goods. After 1969 it was given a separate entry. The question for consideration is as to whether pullovers and cardigans fall in the category of woollen hosiery or of woollen goods. The term "hosiery" has not been defined in the Act and it is to be understood in its popular sense, meaning that sense which people conversant with the subject-matter with which the statute is dealing would attribute to it. A reference to the dictionary meaning can also be useful. In the Oxford English Dictionary the word "hosier" means "one w ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... to this view. It is neither justified from a consideration of relevant entries which have been noted above nor from the decided cases. The first case in the series is a Division Bench decision of this Court rendered in Ram Lal Brothers v. Commissioner of Sales Tax 1979 ATJ 41. The question that came up for consideration in that case was as to whether cardigans and pullovers should be treated to be woollen hosiery or woollen goods and that was in the context of entries Nos. 17 and 46 occurring in the list to Notification No. 905 dated 31st March, 1956. We have already reproduced these entries above. After referring to the various dictionary meanings given to the expression "hosiery " it was observed: "It is therefore indicated that 'hosi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... not very correct. Then there is another Division Bench decision of our Court referred in Commissioner of Sales Tax, U.P. v. Verma Hosiery Stores [1972] 30 STC 606; 1972 UPTC 258. In that case the question for consideration was as to whether cotton mufflers and topas are ready-made garments or are hosiery goods. Following the decision in Ram Lal's case 1979 ATJ 41 and further that of the Rajasthan High Court in Jaipur Hosiery Mills v. State of Rajasthan [1967] 19 STC 416, cotton mufflers and topas were held to satisfy the two tests: firstly, that they are garments worn next to skin and secondly, that they are machine-knitted articles and hence were treated as articles of hosiery. In other words, this decision is an authority for the propo ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the commercial Tax Officer had treated "banians" and "chaddies" as hosiery products within the meaning of department Notification No. F.5 (99) E and T./60 dated 26th March, 1962. By that notification the sale of garments whether prepared within or imported from outside Rajasthan, the value of which did not exceed Rs. 4 in single piece "excluding hosiery products and hats of all kinds" were exempted from payment of any tax. The claim of the assessee was that "banians" and "chaddies" were not hosiery products. That contention was repelled by the Rajasthan High Court and after a reference to the various dictionary meanings of the expression "hosiery" it was held that the use of the words "of all kinds" in the expression "excluding hosiery pro ..... X X X X Extracts X X X X X X X X Extracts X X X X
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