1981 (7) TMI 222

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....e question in this revision by the State Government is whether mill-made handkerchiefs sold by the assessee in this case are exempt from sales tax under section 8 of the Tamil Nadu General Sales Tax Act, 1959, read with item 4 of the Third Schedule to the Act. Item 4 of the Third Schedule exempts from taxation cotton fabrics, woollen fabrics and rayon or artificial silk fabrics, as defined in i....

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....o the present discussion. The Government's objection to treat handkerchiefs as cotton fabrics is perhaps due to the fact that the kerchief is not woven to size as a fabric in itself, but cut to size by hand or mechanical process. We are satisfied that the expression "fabric" is of sufficient amplitude to cover not only a handkerchief woven as a fabric in its own size but also a handkerchief mad....

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.... layman, therefore, and to a shop-keeper, a question of this kind ought to have posed no problem whatever, and might even raise a smile, if posed. It is a matter of surprise that a case of this utter simplicity should, in all seriousness, have been brought before this Court. What is doubly surprising is that similar questions should have reached other High Courts as well. Luckily, for commonsense,....