9911796707
TMI Blog1997 (7) TMI 602X X X X Extracts X X X X X X X X Extracts X X X X ..... ars that because of some communication made by the Commissioner of Com- mercial Taxes under his letter No. CLR. CRA. 80/93-94 dated September 1, 1993, taking a view that sugar candy, instead of being an exempted commodity, is liable to tax at the rate of 4 per cent under entry 18A of the Second Schedule to the State Act, the appellant taking that to be a cause of action, filed Writ Petition No. 29519 of 1995* in this Court for declaring the said clarification as contrary to the statutory provisions. But, having failed before the learned single Judge in getting the said declaration, has preferred the present appeal. 3.. The mode and manner of manufacturing sugar candy is not in serious dispute. As stated by the appellant, for manufacturing ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e stood from April 1, 1992, being relevant for the present purposes, read as under: Second Schedule, Part S: S. No. 18A: Sugar and sugar preparations excluding such sugar and sugar preparations as are covered, described or specified elsewhere in any of the Schedules. Fifth Schedule: S. No. 31-B: Sugar as described from time to time in column 3 of the First Schedule to the Additional Duties of Excise (Goods of Special Importance) Act, 1957, but excluding confectionery and the like. 5.. From the above entries, in the two Schedules to the State Act, it is quite clear that if sugar candy can be found to be included or covered by S. No. 31-B of the Fifth Schedule, then no tax can be levied on the sale or purchase thereof. Now for the pur ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... had arisen in the context of entry 47 of Schedule A to the Bombay Sales Tax Act, 1959, wherein the definition of sugar was adopted from the First Schedule to the Central Excises and Salt Act, 1944, which defined sugar to mean any form of sugar containing more than 90 per cent of sucrose . The apex Court, on consideration of rival contentions, came to the conclusion that all the three commodities prepared out of sugar were nothing but sugar for the purpose of Sales Tax Act. The relevant passage in this regard is to the following effect: It was urged by the learned Advocate-General that the word sugar in entry 47 has been used in the same sense in which it is used in common parlance and that in common parlance, patasa , harda and ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... en raw groundnut oil was converted into refined oil by a process whereunder the non-oily content of the raw oil was separated and removed, rendering the oily content of the oil hundred per cent, the groundnut oil so refined continued to be groundnut oil within the meaning of rules 5(1)(k) and 18(2) of the Madras General Sales Tax (Turnover and Assessment) Rules, 1939, notwithstanding that such oil did not possess the characteristic colour or taste, odour, etc., of the raw groundnut oil. It was further held that the fact that in the course of hydrogenation the oil absorbed two atoms of hydrogen and that there was an intermolecular change in the content of the substance was not decisive of the matter. They held that there was no use to which ..... X X X X Extracts X X X X X X X X Extracts X X X X
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