Delegated rule-making on account numerals upheld; international numerals requirement was held consistent with the sales tax statute.

Rule 26(1) of the Tamil Nadu General Sales Tax Rules, 1959, requiring accounts to be maintained using international numerals, was upheld as within the delegated rule-making power under the Act. The Court distinguished numerals from language, holding that section 40(1) governed the language of accounts but did not confer a statutory right to use a particular numeral system. It also noted the absence of any express guarantee of Gujarati numerals in the Act, while section 53(2)(n) authorised rules regulating the manner in which accounts were to be maintained. The challenge that the rule was ultra vires section 40(1) failed, and the notice and circular were sustained.

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Issues: Whether rule 26(1) of the Tamil Nadu General Sales Tax Rules, 1959, requiring use of international numerals in accounts, was ultra vires section 40(1) of the Tamil Nadu General Sales Tax Act, 1959, and beyond the rule-making power under the Act.

Analysis: Section 40(1) of the Act dealt with the language in which accounts could be maintained and did not confer any right to use a particular form of numerals. The Court treated numerals as distinct from language and referred to the Constitution, where the use of numerals had been separately dealt with in Article 343 and where no comparable constitutional protection existed for States under Article 345. The Act did not specifically guarantee a right to use Gujarati numerals, while section 53(2)(n) authorised rules prescribing the manner in which accounts were to be maintained. On that basis, rule 26(1), which required international numerals, was held to be within the delegated power and not inconsistent with the statute.

Conclusion: The rule was valid and not ultra vires the Act; the challenge to the notice and circular failed, and the writ petitions were dismissed.

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