1970 (2) TMI 98

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....sessee manufactures and sells black salt. His return disclosed a turnover of Rs. 14.072.14 and was accepted, but his claim that black salt was exempt from sales tax under section 4(1)(a), U.P. Sales Tax Act, was not accepted and the assessing authority levied the tax at the rate of two per cent. The assessee went up in appeal but failed. The Additional Judge (Revisions), Sales Tax, held that section 4 used the word salt and not common salt. Black salt was one of the species of salt and was covered by the word salt used in section 4 of the Act. He, therefore, allowed the revision and set aside the assessment order. At the instance of the Commissioner, Sales Tax, the question of law mentioned above has been referred for the opinion to this co....

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....ounsel urged that black salt is a potassium compound and is not chemically constituted similarly to common salt which is sodium chloride. Hence, the two commodities are different. Black salt could not come within the meaning of the word salt used in section 4 of the Act. In our opinion, the premise of this argument cannot be upheld. There is no evidence on the record to prove that the article manufactured by the assessee is produced in the manner and method given in these text-books. On the contrary, the uncontroverted material adduced by the assessee is to the effect that he produced the black salt by mixing sambher salt with charcoal and heating it. It is, therefore, difficult to agree that the product called black salt manufactured an....

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....e black salt produced in Northern India is a product of the ordinary common salt. By mixing it with charcoal it does not seem to lose its chemical constitution. But, it is significant that it is useful for digestion. This would suggest that it is usable on the table, as common salt is. Section 4 of the Act provides for exemption from sales tax. Subsection (1) says that no tax shall be payable on "(a) the sale of water, milk, salt, newspapers and motor spirit as defined in the U.P. Sales of Motor Spirit (Taxation) Act, 1939, and any other goods which the State Government may by notification in the official Gazette exempt, and (b)..............................................................." It will be seen that the Legislature has gr....