NAUNEET FOOD INDUSTRIES Vs. COMMISSIONER OF SALES TAX

JUDGEMENT

(1.) Taxability of apple juice which was manufactured by the assessee in the assessment year 1975-76 and supplied only to M/s. Mohan Meakin Breweries Ltd., Mohan Nagar, Ghaziabad, is in dispute. It is admitted that the assessee started supply from September, 1965. It extracted apple juice and sold to M/s. Mohan Meakin Breweries Ltd. It claimed before the assessing authority that the sale made by it was not taxable as the item could be held taxable only if it was sold in tin or tin container. This contention was not accepted. In appeal also the same contention was reiterated but was rejected. Before the revising authority the assessee claimed that the apple juice supplied by it was cold drink and therefore it was not liable to pay any tax as tax on cold drink was single point at the point of sale to consumer. The revising authority did not see any merit in it as admittedly the assessee supplied raw apple juice which was not marketable unless it was tested chemically. According to the revising authority as this was done by M/s. Mohan Meakin Breweries Ltd. apple juice manufactured by the assessee could not be considered to be cold drink.

(2.) Now the assessee claims that apple juice is nothing but beverage taxable under Notification No. 4949 of 30th May, 1975. But the tax being .at the point of sale to consumer and that also be served to customer the sale of the assessee was not covered in it. According to the learned counsel the goods mentioned in the notification having become taxable at the point of sale to the consumer no tax could be levied at any other point.

(3.) The first question therefore is whether apple Juice is a beverage.