COMMISSIONER SALES TAX Vs. HINDALCO CANTEEN

JUDGEMENT

(1.) HEARD Sri Sanjeev Shankdhar, learned counsel for the applicant and Sri S.M.K.Chaudhary for the opposite-party. The assessee is manufacturing and selling aluminum wires in various shapes and sizes. In accordance with the provisions of 46 of the Factories Act, 1948, the assessee maintains a canteen for its employees. The canteen facility was available on the basis of 'no profit no loss'. It was claimed by the assessee that the sale is made to the employees on a highly subsidized basis. However, the Assessing Officer assessed the trade tax. So he after accepting the turn-over, has levied the tax. Being aggrieved, the assessee has filed the appeal before the First Appellate Authority, who partly allowed the claim of the assessee by giving benefit on the ground that a few purchases were made against Form 3-C. Finally, the First Appellate Authority has levied the trade tax of Rs. 2144/-. Not being satisfied, the assessee has filed the second Appeal before the Trade Tax Tribunal. The Tribunal after hearing both the parties observed that the canteen sale was not liable to sales-tax with effect from 7.9.78 to 31.3.1979, so the Tribunal has given a partial relief to the assessee. Not being satisfied, the department has filed the instant revision. I have heard the counsel for both the parties and gone through the material available on record. From the record, it appears that the sale was made on the basis of 'no profit-no loss' for the welfare of employees. The Tribunal has already relied on the "scope of sale" as per 46th amendment in the Constitution along with the ratio laid down in a number of cases including the case of M/s Food Corporation of India v. CST, 1980, UPTC 1 as well as M/s British Corporation of India v. CST, 1980 UPTC 1978 where the doctrine of mutuality was discussed. For the subsequent Assessment Year 1979-80, similar matter was placed before this Court through STR No. 13 of 1990. This Court vide order dated 17.4.2009 has dismissed the revision filed by the department. Considering the identical matter, this revision filed by the department is also dismissed for the assessment year under consideration.