ABDUS SATTAR BISWAS Vs. UNION OF INDIA

JUDGEMENT

(1.) IN these two Rules the petitioners have challenged the vires of clause (bbb) (i) of subsection (1)of section 5 of the Bengal Finance (Sales Tax) Act, 1941, hereinafter referred to as the Act, as inserted by section 2 of the West Bengal Ordinance no. XIV of 1969 since replaced by the bengal Finance (Sales Tax) (Amendment)Act, 1970, hereinafter referred to as the Amendment Act.

(2.) THE petitioners carries on business as rearers of silk yarns and reelers of raw silk thread from cocoons which are silky cases spun by Larva of silk yarns and do not involve any twisting operation. The Governor of West bengal in exercise of the powers conferred by clause (1) of Article 213 of the Constitution of India promulgated the said Ordinance on October 16, 1969 which came into force on and from november 15, 1969. By the said ordinance a new clause (bbb) (i) was inserted in sub-section (1) of section 5 of the Act. Clause (bbb) (i) is as follows:

(3.) IT may be stated in this connection that yarn was tax free article and was, accordingly, included in item No. 15 of schedule 1 to the Act which is a list of tax free goods, under section 6 of the Act. By virtue of the said ordinance, excepting the cotton yarn all other yarns have been made liable to payment of sales tax. Pursuant to the insertion of clause (bbb) (i), schedule 1 has been amended and in item no. 15 thereof in place of 'yarn', 'cotton yarn' has been substituted.