Popular meaning test for taxing entries: ammonia paper was held outside the paper entry and taxed at the general rate.

Ammonia paper was held not to fall within the taxing entry for "paper" under the Kerala General Sales Tax Act because a commodity in a taxing schedule must be understood in its popular and commercial sense, as commonly used by traders and consumers, unless the statute defines it otherwise. Applying that test, the court accepted that ammonia paper is not paper in the ordinary sense and does not answer the description in entry 97. It was therefore assessable at the general multi-point rate rather than as paper under the specific entry.

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Issues: Whether ammonia paper falls within entry 97 of the First Schedule to the Kerala General Sales Tax Act, 1963 as paper, or is liable to be assessed at the general multi-point rate.

Analysis: The expression "paper" in a taxing entry, when not specially defined, must be understood in its popular and commercial sense and in the context of common usage. On that approach, the relevant judicial guidance held that ammonia paper is not paper in the ordinary sense in which that commodity is understood by consumers and traders. The Court applied that principle to the statutory entry and accepted that ammonia paper does not answer the description of "paper" in entry 97.

Conclusion: The question was answered against the assessee and in favour of the Revenue; ammonia paper is not covered by entry 97 and is assessable at the general multi-point rate.

Ratio Decidendi: A commodity in a taxing entry must be classified according to its popular or commercial meaning in common parlance, and not by its technical or chemical composition, unless the statute indicates otherwise.

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