1981 (8) TMI 200

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....St. Antony's Timber Depot, Coonoor. It is a sales tax assessee. In the year 1975-76, the assessee purchased from the Government Timber Depots timber of the value of Rs. 67,917.33. The assessee sold the timber subsequently to various parties. This amount is estimated to be Rs. 86,255. The Deputy Commercial Tax Officer considered that the sales amounting to Rs. 86,255 were chargeable to sales tax....

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....nd bamboo.   Explanation.-For the purpose of this item, in the case of timber and bamboo purchased by the forest contractors in the auction of forest coupes conducted by the forest department of the Government, the sale by such contractors of such timber and bamboo in any form or size shall be deemed to be the first sale and the sale by the forest department in such auction of forest coupe....

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....y fiction can be applied to the present assessee? A study of the explanation shows that the statutory fiction does not cover all sales of timber and bamboo. On the contrary, the fiction is limited in its application to sale by "auction of forest coupes conducted by the forest department of the Government". These words convey a separate class of transaction by the forest department. There is a d....

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....e presence of certain factual elements in the case. The most important of which is that the sale should be of forest coupes. A statutory fiction must not only be construed according to its terms, but it must be applied only where the facts required for its application are fully present. When the fiction in the explanation to entry 84 applies only to those who have purchased coupes, it is not for t....