JAYAWANT RAMRAO NANA Vs. STATE OF BOMBAY

JUDGEMENT

(1.) IN this revision application two points have been argued before us. First the cost of wages paid to painters of number plates for motor vehicles and of traffic signals and the cost of installation of the latter on the roads ought to be deducted from the sale price before arriving at the taxable turnover of the applicants. The second point is that the number plates for motor vehicles do not form a part or an accessory of the vehicle and cannot be charged at the special rate under entry 1(iii) of Schedule I of the Sales Tax Act.

(2.) THE applicants are a firm of contractors to supply the traffic signals to the Police Department and also number plates to the owners of the vehicles who charge the flat rate price of Rs. 45 for a traffic signal and Rs. 2 for a number plate. Since neither wages nor the cost of installation are shown separately but are included in the sale price of the contracted articles we think there is nothing in the first point and neither wages nor the cost of installation can be deducted from the taxable turnover.