TaxTMI 
TaxTMI 
1990 (11) TMI 357
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....nnexure B to the writ petition. The turnover of handmade soaps was Rs. 9,13,793.77. He had also other turnovers from soap stone-powder, rice bran oil and caustic soda. If the turnover of all these goods are taken into consideration, certainly his turnover would exceed Rs. 10 lakhs. After some time, the petitioner was notified under section 12-A of the Act by a notice dated 21st January, 1988. In the notice it was pointed out that the exemption notification was inapplicable to the petitioner because his total turnover exceeded Rs. 10 lakhs and the benefit of the notification for reduced rate of tax was attracted only to a dealer whose turnover in respect of all goods is less than Rs. 10 lakhs. Against this, the present writ petition is filed....
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....nly after hearing the learned Government Pleader, rule was issued on 18th April, 1988. 4.. The question whether there is an effective remedy available is for the court to consider at that stage and not 2 years and 10 months after the issuance of rule nisi. The very purpose of issuing notice regarding rule is to consider such matters, as this, as to whether the petitioner has alternative remedy, whether prima facie the petition has to be rejected for any other reason or whether the respondent on consideration of the matter would withdraw the notice issued to the petitioner. All preliminary issues are normally to be decided at this stage of preliminary hearing. 5.. The rate of tax in respect of the turnover is reduced under section 8-A ....
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....s reduced provided the turnover is less than Rs. 10 lakhs. It is obviously a beneficial notification and will have to be liberally construed. As Mr. Indrakumar, learned counsel for the petitioner, pointed out that by virtue of the sale of a van or a vehicle, turnover exceeds Rs. 10 lakhs, the construction placed by the Revenue would deprive the dealer of the benefit of this notification. In other words, even though a dealer is an exclusive dealer in handmade washing soaps, by application of the interpretation read with the deeming provision of the Act, his turnover will exceed Rs. 10 lakhs and the benefit of the notification will be lost to the dealer. 7.. This apart, the concept of the total turnover referred in the notification will ha....
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....the phrase was used the concept of turnover of sales was confined to the turnover of sales in the particular goods. Mr. Indrakumar also cited M.P. Shoe House v. State of M.P. [1987] 67 STC 427 (MP). In the said case certain exemption was granted regarding sales of footwear made of rubber or plastic. However, the notification confined the exemption to sales by a dealer "who deals exclusively in footwear made of rubber and/or plastic". Therefore, as per the language of the notification exemption was not available to a dealer who was dealing in another goods also apart from footwear made of rubber or plastic. This restriction was challenged. A Bench of the Madhya Pradesh High Court allowed the writ petition and the word "exclusively" in the....