TaxTMI 
TaxTMI 
1997 (7) TMI 602
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....ions of the State Act. It, inter alia, carries on business of sale and purchase in sugar candy. It appears that because of some communication made by the Commissioner of Com- mercial Taxes under his letter No. CLR. CRA. 80/93-94 dated September 1, 1993, taking a view that sugar candy, instead of being an exempted commodity, is liable to tax at the rate of 4 per cent under entry 18A of the Second Schedule to the State Act, the appellant taking that to be a cause of action, filed Writ Petition No. 29519 of 1995* in this Court for declaring the said clarification as contrary to the statutory provisions. But, having failed before the learned single Judge in getting the said declaration, has preferred the present appeal. 3.. The mode and mann....
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....No. 18A of Part S of the Second Schedule and entry at Sl. No. 31-B of the Fifth Schedule. These entries as those stood from April 1, 1992, being relevant for the present purposes, read as under: Second Schedule, Part S: S. No. 18A: Sugar and sugar preparations excluding such sugar and sugar preparations as are covered, described or specified elsewhere in any of the Schedules. Fifth Schedule: S. No. 31-B: Sugar as described from time to time in column 3 of the First Schedule to the Additional Duties of Excise (Goods of Special Importance) Act, 1957, but excluding confectionery and the like. 5.. From the above entries, in the two Schedules to the State Act, it is quite clear that if sugar candy can be found to be included or cover....
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....n for consideration with respect to three commodities made out of sugar, namely patasa, harda and alchidana. The said question had arisen in the context of entry 47 of Schedule "A" to the Bombay Sales Tax Act, 1959, wherein the definition of sugar was adopted from the First Schedule to the Central Excises and Salt Act, 1944, which defined sugar to mean "any form of sugar containing more than 90 per cent of sucrose". The apex Court, on consideration of rival contentions, came to the conclusion that all the three commodities prepared out of sugar were nothing but "sugar" for the purpose of Sales Tax Act. The relevant passage in this regard is to the following effect: "It was urged by the learned Advocate-General that the word 'sugar' in en....
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....ustries Ltd., Kurnool v. Commercial Tax Officer, Kurnool [1960] 11 STC 827; AIR 1961 SC 412. In that case, it was held that when raw groundnut oil was converted into refined oil by a process whereunder the non-oily content of the raw oil was separated and removed, rendering the oily content of the oil hundred per cent, the groundnut oil so refined continued to be groundnut oil within the meaning of rules 5(1)(k) and 18(2) of the Madras General Sales Tax (Turnover and Assessment) Rules, 1939, notwithstanding that such oil did not possess the characteristic colour or taste, odour, etc., of the raw groundnut oil. It was further held that the fact that in the course of hydrogenation the oil absorbed two atoms of hydrogen and that there was a....