PARDEEP AGGARBATTI Vs. STATE OF PUNJAB

JUDGEMENT

(1.) THE petitioner-firm is a registered dealer under the Punjab General Sales Tax Act, 1948 (hereinafter the Act) for the sale of dhoop and aggarbatti. It filed quarterly return for the assessment year 1973-74 and claimed that the sales of dhoop and aggarbatti be assessed at the rate of 6 per cent. The Assessing Authority did not agree and levied sales tax at the rate of 10 per cent vide order dated November 29, 1976 (P. 1 ). The petitioner filed an appeal against the order P. 1 which was accepted by the Appellate Authority, vide order dated August 10, 1978 (P. 2 ). The order of the Assessing Authority (P. 1) was set aside and the Assessing Authority was directed to calculate the sales tax on the sales of dhoop and aggarbatti at the rate of 6 per cent instead of 10 per cent. The Joint Excise and Taxation Commissioner initiated suo motu revisional proceedings to examine the legality or propriety of the order P. 2 and vide order dated May 22, 1979 (P. 3) set aside the same and restored that of the Assessing Authority (P. 1), holding that the dhoop and aggarbatti were liable to tax at the rate of 10 per cent. The petitioner filed a revision against the order P. 3 which was dismissed by the Sales Tax Tribunal, vide order dated August 14, 1980 (P. 4 ). The petitioner has assailed the orders P. 1, P. 3 and P. 4 in the present writ.

(2.) THE relevant part of Section 5 of the Act reads :

(3.) THE word "luxury" was omitted with retrospective effect vide notification dated February 27, 1976. Entry No. 16 of Schedule A before its substitution vide notification dated September 28, 1979 read :