Common parlance test limits entry tax classification: ball-bearings are not industrial machinery or its parts under the schedule.

Writ petitions were held maintainable despite an appellate remedy because the departmental clarification had already been followed by subordinate officers, making an appeal futile, and the objection had not been raised before the single judge. For entry tax classification, the decisive factor was the nature of the goods at the time of entry into the local area, not their later use. Applying the common parlance test, ball-bearings were not understood as industrial machinery or as parts and accessories of industrial machinery, so they did not fall within entry 7 and were not exigible to entry tax under that entry.

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Issues: (i) Whether the writ petitions were maintainable despite the availability of an appellate remedy under the Act; (ii) whether ball-bearings fall within entry 7 of the Schedule as industrial machinery or parts and accessories thereof.

Issue (i): Whether the writ petitions were maintainable despite the availability of an appellate remedy under the Act.

Analysis: The statutory clarification issued by the Commissioner under section 12(6) and (7) of the Act was followed by subordinate officers, and an appeal to the departmental hierarchy would have been an exercise in futility. The objection based on alternate remedy was also not raised before the single Judge. In such circumstances, recourse to article 226 of the Constitution of India was justified.

Conclusion: The writ petitions were maintainable and the objection based on alternate remedy failed.

Issue (ii): Whether ball-bearings fall within entry 7 of the Schedule as industrial machinery or parts and accessories thereof.

Analysis: Under the charging scheme of section 3 of the Act, the relevant factor is the nature and character of the goods at the time of entry into the local area. Subsequent use after entry is immaterial. Applying the common parlance test, ball-bearings are not understood as industrial machinery, nor as parts or accessories of industrial machinery in general, because they are used across different kinds of machinery and even in household appliances, vehicles, and toys. The explanation enlarging the meaning of industrial machinery did not alter this position.

Conclusion: Ball-bearings do not fall within entry 7 and are not exigible to entry tax under that entry.

Final Conclusion: The assessee succeeded on the substantive tax classification issue, and the challenge to the assessments failed in appeal.

Ratio Decidendi: For entry tax classification, the decisive factor is the nature of the goods at the time of entry into the local area, and goods are classifiable under the entry only if they are generally understood in common parlance as falling within that description; their later use in industry does not determine taxability.

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