Retrospective deeming fiction treats split dal as a distinct commodity, making first purchase tax independently payable.

A retrospective validating amendment to section 3-D deemed split or processed foodgrains, including dal, to be different commodities from unsplit or unprocessed grain. On that statutory basis, the first purchase of split dal remained separately taxable even if the whole grain had already suffered tax, because the two forms were treated as commercially distinct for purchase tax purposes. The amendment operated as if always part of the Act, supporting levy of purchase tax on the assessee's purchases of split dal as first purchases.

---

---

Issues: Whether purchases of split dal could be treated as first purchases in the hands of the assessee and subjected to purchase tax under the U.P. Sales Tax Act, and whether split dal is commercially different from whole grain for the purpose of section 3-D.

Analysis: Explanation II inserted in section 3-D by the Uttar Pradesh Sales Tax (Amendment and Validation) Act, 1970 created a statutory deeming fiction that split or processed foodgrains, including dal, are different from unsplit or unprocessed foodgrains. The amendment was given retrospective effect and was expressly made applicable as if it had always been part of the Act. On that basis, the earlier purchase of whole grain did not prevent levy on the first purchase of split dal, because the two forms were treated as distinct commodities for the purposes of the first-purchase levy.

Conclusion: The purchases of dal were liable to purchase tax as first purchases in the hands of the assessee, and split dal was held to be commercially different from whole grain.

Final Conclusion: The reference was answered in favour of the revenue by upholding the levy of purchase tax on the assessee's purchases of split dal.

Ratio Decidendi: Where the legislature, by a retrospective validating amendment, deems split or processed foodgrains to be different from unsplit or unprocessed foodgrains, the first purchase of the split form is independently taxable notwithstanding prior tax on the unsplit form.

---