BHATTACHARJEE BRORS Vs. SUPERINTENDENT OF TAXES

JUDGEMENT

(1.) WHAT is the decisive factor, the terms of the written contract or the interpretation put by the parties to the contracts to ascertain whether the goods sold were "exempted goods" under section 7 of the Assam Sales Tax Act, 1947, for short "the Act, read with Schedule III to the Act ? In our opinion the written contract speaks eloquently the nature and character of the goods sold or purchased and whether the goods fall within or outside the purview of the items enumerated in Schedule III to "the Act". The question whether the goods fall in any of the items of the schedule can be best decided by the taxing authorities on a proper appreciation of the terms of the contract.

(2.) THIS writ petition stems from an order of assessment dated 17th December, 1970, rendered by the Superintendent of Taxes, Dibrugarh, under section 17 (3) read with section 19a of "the Act" and the appellate order dated 16th March, 1971, of the Assistant Commissioner of Taxes, Assam at Jorhat.

(3.) THE petitioner has urged that "meat" was an exempted goods specified in item 11 of schedule III to "the Act" whereas "live animals" were not. The validity of the orders of the authorities have been questioned by the petitioner on the ground that the authority decided that the goods sold were live animals and not flesh or meat on the opinion of the buyer and not on scrutiny of the terms of the contract which the authority was bound to consider and as such the authority failed to exercise jurisdiction vested in it by law and deprived the petitioner of his valuable right of exemption to be taxed confined by under the statute.