CENTRAL POTTERIES LTD Vs. STATE OF MADHYA PRADESH

JUDGEMENT

(1.) The judgment in this appeal shall also govern the disposal of Civil Reference No. 37 of 1957 which, it was agreed by counsel for the parties, should be heard along with the first appeal. The first appeal arises out of the judgment and decree of the First Additional Judge to the First Civil Judge, Class I, Nagpur, dismissing the appellant -plaintiff's suit, Civil Suit No. 1 -A of 1952.

(2.) THE appellant -company filed a suit for recovery of Rs. 8,650 -11 -9 paid as sale tax. The company also claimed other reliefs, such as a declaration that it was not liable to pay sales tax and the granting of an injunction against the defendants prohibiting them from proceeding to demand, assessee or receive sales tax from the plaintiff. The original defendants in the suit were the then State of Madhya Pradesh through the Deputy Commissioner, Nagpur, and the Commissioner of Sales Tax, Madhya Pradesh, Nagpur. Pending the appeal, however, the plaintiff applied for amendment and added the Collector of Sales Tax, Bombay, as a party to the appeal in view of the States Re -organisation Act. It was conceded before us on behalf of the respondents that today the liability to refund the sales tax to the appellant -assessee would be that of the Collector of Sales Tax, Bombay, and that the first two defendants were not liable.

(3.) THE period of assessment which was challenged in the suit was from 1st June, 1947 (i.e. from the inception of the Act) to 30th September, 1951. The appellant challenged the assessment upon several grounds with all of which we are not concerned here.