KRUPASINDHU SAHU AND SONS Vs. STATE OF ORISSA

JUDGEMENT

(1.) UNDER section 24 (1) of the Orissa Sales Tax Act, 1947 (Act 14 of 1947) (hereinafter to be referred to as the Act), the Tribunal has referred the following question of law arising out of its appellate order passed on 26th December, 1970.

(2.) THE undisputed facts are that the petitioner purchased logs from registered dealers free of tax to the extent of Rs. 29,551. 50 for resale in Orissa. The logs were cut into sizes in saw mills and then were resold in Orissa. All the taxing authorities held that by conversion of logs into sized wood the petitioner contravened section 5 (2) (A) (a) (ii) of the Act.

(3.) THE question for consideration is whether the logs sized in the saw mills can still be styled as "timber" as specified in the petitioner's certificate of registration. In other words, whether logs originally purchased and those very logs sized after purchase are identical goods for the purpose of imposition of sales tax is to be determined.