AI Drafter 
TaxTMI 
TaxTMI 
1965 (5) TMI 29
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.... commodity under the Bengal Finance (Sales Tax) Act and he, as a dealer in camphor, need not remain as a registered dealer under the said Act. He followed up the application by a second one, therein taking up the plea that camphor was a drug within the definition of Indian Drugs Act and that the provisions of Bengal Finance (Sales Tax) Act were not applicable thereto and as such the assessment of tax upon the petitioner for sale of camphor during the period 15th November, 1955, to 30th June, 1958, should be set aside. The Commercial Tax Officer rejected both the applications by an order dated 9th September, 1955. The petitioner moved the Assistant Commissioner of Commercial Taxes against the aforesaid order. The Assistant Commissioner thereupon directed the Commercial Tax Officer to make an on-the-spot enquiry at the petitioner's place of business and submit a report on the following two points: (1) whether camphor tablets manufactured by the petitioner were exclusively made of camphor powder, and (2) whether the petitioner had any liability to pay tax under the Bengal Finance (Sales Tax) Act. The Commercial Tax Officer made an enquiry, as directed, and submitted the following r....
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....the local market and by making camphor cubes out of such powder he did not become liable to pay tax under the West Bengal Sales Tax Act, 1954 [misdescribed, in paragraph II of the petition, as Bengal Finance (Sales Tax) Act, 1954]. The Commercial Tax Officer rejected the plea and held that the petitioner was liable to assessment under the West Bengal Sales Tax Act. The petitioner appealed against the order but the Assistant Commissioner of Commercial Taxes rejected the appeal as premature. Thereafter, on 6th January, 1961, the respondent Commercial Tax Officer assessed the petitioner to sales tax under the West Bengal Sales Tax Act and also imposed a penalty upon the petitioner under section 9(3)(a)(ii) of the West Bengal Sales Tax Act. The tax assessed and the penalty together came up to Rs. 2,761.12 paise. The petitioner challenged the assessment order and the order imposing the penalty upon him before the Assistant Commissioner of Commercial Taxes. The appellate authority overruled the petitioner's contention that he was not at all liable to taxation under the West Bengal Sales Tax Act with the following observations: "It is also contended by the petitioner that making....
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....r under the West Bengal Sales Tax Act, 1954. He obtained this Rule. Mr. Provat Kumar Sen Gupta, learned Advocate for the petitioner, contended, in the first place, that camphor was not a notified commodity under the West Bengal Sales Tax Act, 1954, and neither camphor powder nor camphor cubes could be taxed under the said Act. In my opinion, this argument cannot be sustained. The West Bengal Sales Tax Act, 1954, was an Act, as its long title shows, "to impose tax on cigarettes and other commodities." Section 25 of the Act empowers the State Government to specify the commodities made taxable under the West Bengal Sales Tax Act. In exercise of the powers under section 25 the State Government published a notification No. 1658 F.T. dated 1st August, 1956, which was couched in the following language; "Whereas the Governor is of opinion that it would be in the public interest that the commodities mentioned below, being commodities liable to taxation under the Bengal Finance (Sales Tax) Act, 1941 (Bengal Act VI of 1941), should be taxed under the West Bengal Sales Tax Act, 1954 (West Bengal Act IV of 1954); Now, therefore, in exercise of the power conferred by section 25 of the West Be....
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.... that camphor as a commodity is outside the scope of the West Bengal Sales Tax Act, 1954. Mr. Sen Gupta contended in the alternative that even if camphor be treated as a drug within the meaning of the Drugs Act, it was never notified as a notified commodity after the amendment of the West Bengal Sales Tax Act, 1954, by the West Bengal Sales Tax (Amendment) Act, 1958, and the specification made under section 25 of the unamended West Bengal Sales Tax Act, 1954, would not make camphor as a notified commodity, under the amended Act. In my opinion, this argument also is unworthy of being sustained. Notified commodity as defined in section 2(a) of the West Bengal Sales Tax Act, 1954, is couched in the following language: "'Notified commodity' means any commodity specified under section 25 of this Act, whether before or after the commencement of the West Bengal Sales Tax (Amendment) Act, 1958." That being the definition of "notified commodity", such commodities as had been specified under section 25 of the Act prior to the amendment of 1958 Act automatically became notified commodities under the definition quoted above. Faced with this position Mr. Sen Gupta retraced his steps an....