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TMI Blog2008 (8) TMI 834X X X X Extracts X X X X X X X X Extracts X X X X ..... ing the second appeal filed by the dealer before it. In the result the revision succeeds and is allowed. The order under revision dated May 30, 1996 is hereby set aside and the Second Appeal No. 261 of 1994 for the assessment year 1989-90 filed before the Tribunal stands allowed. - - - - - Dated:- 5-8-2008 - PRAKASH KRISHNA , J. PRAKASH KRISHNA J. Raising a short controversy the above revision has been filed under section 11 of the U.P. Trade Tax Act, 1948 against the order dated May 30, 1996 passed by the Trade Tax Tribunal, Ghaziabad, in Second Appeal No. 261 of 1994 relevant to the assessment year 1989-90 (U.P.) whereby and whereunder the Tribunal has held that the sale of packing material (paper) at the hand of the dealer is not exempt under the Notification No. 7037, dated January 31, 1985. The facts of the case lie in a narrow compass and are almost undisputed. The dealer sold packing paper to M/s. Kundan Gramodyog Sansthan, Lucknow, for a sum of Rs. 2,72,326. The said purchaser claimed exemption in view of the Notification No. 7037, dated January 31, 1985, as it was holding certificate for the same. The said certificate was filed before the assessing authority ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... soap. In other words, it was submitted that there was no wrong , or false misrepresentation so far as the dealer is concerned, while entering into the transaction in question with M/s. Kundan Gramodyog Sansthan, U.P., Lucknow. The dealer should not be compelled to suffer, for no fault, of his, submits the learned counsel for the dealer. The learned Standing Counsel on the other hand, supports the order of the Tribunal and submits that since the soap having been manufactured without aid and help of packing material, the purchases of wrapper paper as packing material from the dealer by the institution is not materially connected with the manufacture of soap. Considered the respective submissions of the learned counsel for the parties and perused the record. It is axiomatic that the controversy involved in the present revision centres round the interpretation of the relevant entry in Notification No. 7037, dated January 31, 1985. For the sake of convenience, the relevant extract from the said notification is reproduced below: SCHEDULE S.No. Description of goods/persons/class of persons Conditions, if any ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... orities below. The other way of looking is to interpret them in broader sense to embrace all such things which are intimately connected with the product to make the product marketable or commercially viable. Packing material like wrapper paper has a far lasting effect on the product and its marketability. More often than not, a manufactured goods are not saleable in the market unless it is properly packed: what so say about attractive packing. In other words, the manufacturing of a goods is one aspect of the matter and making it saleable in the market is another aspect. Both aspects of the matter are very essential and are interlinked and interwoven from the viewpoint of business. The emphasis in the notification is on the manufacture of product which means a product capable of being sold or is in a saleable condition. A judicial notice can be taken that a soap is generally wrapped or packed in a case or in a small paper box, not with a view to make it marketable only, but also to preserve its fragrance and scent. With the advancement of advertising technology and science, the fragrance of a soap plays a vital role in the market to increase its saleability. The point which I w ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ve been interpreted, the relevant extract is reproduced below: (9) 'Connected with' (Judicature Act, 1925 (c. 49), s. 70(5)), can be used to describe a relation with a contemplated event which is still in futuro, see Johnson v. Johnson [1952] (1) All ER 250 (CA) P. 57. It is the first and primary role of the construction that intention of Legislature must be found in the words used by the Legislature itself. One has to look at what is clearly said. Where language and words are plain and clear, and there is no ambiguity, there is no need for any interpretative exercise. But the apex court quoting a passage from the Book of Shri G.P. Singh on Statutory Interpretation, Eighth Volume, 2001 Edition has observed as follows: It may look somewhat paradoxical that plain meaning rule is not plain and requires some explanation. The rule, that plain words, require no construction, starts with the premise that the words are plain, which itself, is a conclusion reached after construing the words. It is not possible to decide whether certain words are plain or ambiguous unless they are studied in their context and construed. D. Saibaba v. Bar Council of India [2003] 4 JT 435 ( ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... xt in which the word product has been used here means a marketable product, i.e, soap wrapped in paper. It has been said that the words of a statute, when there is doubt about their meaning, are to be understood in the sense in which they best harmonise with the subject of the enactment and the object which the Legislature has in view. Their meaning is found not so much in a strict grammatical or etymological propriety of language, nor even in its popular use, as in the subject or in the occasion on which they are used, and the object to be attained. (See Workmen of Dimakuchi Tea Estate v. Management of Dimakuchi Tea Estate AIR 1958 SC 353). I see no reason to take a different view while interpreting the notification under consideration which also deals with grant of exemption to village industries, to promote them which was a cherished desire of the father of the nation. If a different or restricted meaning is given to word product or to words connected with , the notification in question will not fulfil the object behind it. With the sense of accomplishment, a leading multinational Indian company (ITC), with reference to its particular brand of soap has mentioned in it ..... X X X X Extracts X X X X X X X X Extracts X X X X
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