Lassi qualifies as a milk product and remains exempt from sales tax under the relevant notification.

Lassi was treated as a milk product for purposes of exemption under section 4(1) of the U.P. Sales Tax Act and the relevant notification. The court held that the listed milk products in the notification, including chhena and dahi, were illustrative and not exhaustive. Because lassi is prepared from dahi by adding water and churning it, it retains the character of a milk product. Its indirect derivation from dahi rather than directly from milk did not exclude it from exemption. The result was that lassi qualified for sales tax exemption under Notification No. ST-911/X dated 31 March 1956.

---

---

Issues: Whether lassi is a milk product exempt from sales tax under section 4(1) of the U.P. Sales Tax Act and the relevant exemption notification.

Analysis: The exemption under section 4(1) extended to milk and such milk products as were illustratively mentioned in the notification, including chhena and dahi. The stated items were not exhaustive of the class of milk products. Since lassi is prepared from dahi by adding water and churning it, it retains the character of a milk product. The fact that it is derived from dahi rather than directly from milk did not justify excluding it from the exemption.

Conclusion: Lassi is a milk product and is exempt from sales tax under Notification No. ST-911/X dated 31st March, 1956. The answer is in favour of the assessee.

---