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TMI Blog1991 (3) TMI 346X X X X Extracts X X X X X X X X Extracts X X X X ..... t Sales Tax Act, 1969, but was covered by the residuary entry 13 of Schedule III to that Act?" M/s. Gokaldas Trading Co. (hereinafter referred to as "the opponent") is a dealer registered under the Act. It wanted to know the rate of tax payable on the sales of an article sold in the market under the trade name of Bournvita. Therefore, it made an application under section 62 of the Act to the Commissioner of Sales Tax to determine the rate at which such sales were liable to tax. The application was heard by the Deputy Commissioner of Sales Tax (Inspection). He held that Bournvita being food-stuff, sale of it would be covered by entry 6 of Schedule III to the Act and taxable accordingly. Against this decision, the opponent filed an appe ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d to the High Court for its decision. The Tribunal has, therefore, referred the above stated question to this Court. "Bournvita" is a product manufactured by Cadbury's India Limited. It is manufactured out of malt extract, sugar, cocoa powder, glucose, milk solids, sodium bicarbonate, emulsifying agents and salt. It is described by the manufacturer as a tastier food drink. It is recommended to be taken twice a day with milk for providing nourishment. It further appears from the judgment of the Tribunal that it is recommended for convalescing patients, nursing and expectant mothers and invalid and elderly persons as energy supplying drink. Though it was urged by the learned Government agent before the Tribunal that Bournvita is at times se ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... , proteins, fat, etc., that it is sold either in the form of powder or in the form of biscuits; and that it is made for persons suffering from obesity and who intend to reduce their weight. The court also found that persons who want to reduce their weight are advised to sustain themselves only on the intake of this produce for a limited period, and during the period this product is consumed not to take any other food or substituted food provision. On these admitted facts, this Court held that though Limical is a product, which is not normally used by a normal man as an article of food, it cannot be considered as "food-stuff or food provision " as understood in common parlance. In that case, this Court heavily relied upon the decision of the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... n as food by normal persons. It is, therefore, difficult to accept the contention of the learned Assistant Government Pleader appearing for the State that since it is described by the manufacturers themselves as a food drink, it should be regarded as a food-stuff or a food provision. We are, therefore, of the opinion that the Tribunal was right in holding that as Bournvita is neither a food-stuff nor a food provision, it would not be covered by entry 6 of Schedule III but by residuary entry 13 of Schedule III to the Act. The question is, therefore, answered accordingly, i.e., against the State and in favour of the assessee. There shall be no order as to costs in this reference. Reference answered in the affirmative. - - TaxTMI - TM ..... X X X X Extracts X X X X X X X X Extracts X X X X
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