COMMISSIONER OF SALES TAX Vs. PREMIER AUTOMOBILES

JUDGEMENT

(1.) THESE two references are at the instance of the department. The references relate to the assessment to sales tax for the period covering from July 1, 1965 to June 30, 1966 and July 1, 1966 to June 30, 1967. The questions of law referred to this Court for opinion are :

(2.) THE counsel are agreed that the first question is covered by this Court's decision in commissioner of Sales Tax v. Premier Automobiles Ltd. [1985] 59 STC 147 (Bom ). In view thereof, the question is answered in the affirmative and in favour of the assessee.

(3.) RELEVANT facts in relation to question No. 2 are that the assessee purchased certain goods in respect of which it was granted a certificate of recognition under section 25 of the Bombay Sales tax Act, 1959 (for short the "act" ). The goods were purchased by issuing form 15 as laid down in section 11 (1a) of the Act. The goods so purchased are liable to concessional rate of purchase tax subject, however, to the condition that the goods are of the class specified in the certificate of recognition and are purchased for use within the State in the manufacture of taxable goods for sale or in the packing of the goods so manufactured.