SARASWATI UDYOG Vs. STATE OF HARYANA

JUDGEMENT

(1.) AT issue in this bunch of writ petitions (i. e. , C. W. Ps. Nos. 1397 and 3186 of 1984 and 2748, 2948 and 2949 of 1985) under Articles 226/227 of the Constitution of India is the constitutional validity of Sections 9, 24 and 27 of the Haryana General Sales Tax Act, 1973 (for brevity's sake, hereinafter referred to as the "haryana Act") because, petitioners allege, they violate the provisions of Articles 14, 19 (1) (g), 286 and 300-A of the Constitution of India and are repugnant to the provisions of Section 12 of the Haryana Act. Also under challenge are the orders of the Assessing Authorities holding that goods purchased by the petitioners and either sold by them in the same condition or used by them in the manufacture of other goods and such finished goods are sold to exporters who, in turn, exported such goods or the finished goods out of the territory of India, were exigible to purchase tax under Section 9 of the Haryana Act.

(2.) A thumb-nail sketch of the facts will help in understanding and determining the forensic controversy raised in these writ petitions.

(3.) MESSRS. Saraswati Udyog, Jagadhri (petitioner in C. W. P. No. 1397 of 1984) is a partnership concern engaged in the business of manufacture and sale of aluminium utensils. It is registered under the Haryana Act and the Central Sales Tax Act, 1956 (for short the "central Act" ). The petitioner sells the utensils to the exporters who, in turn, export these finished goods out of the territory of India. The petitioner filed returns for the assessment year 1982-83 and disclosed its gross turnover. No tax liability was created under the Haryana Act in relation to the sales to the tune of Rs. 69,174. 57 as the same were accepted to be made in the course of the export out of India under Sub-section (3) of Section 5 of the Central Act and they were admissible for exemption under Section 27 (1) (a) (ii) (iv) of the Haryana Act. However, later on, relying on the recent decision of this Court in Murli Manohar and Company v. State of Haryana STI 1981 P and H 112, the Assessing Authority, Jagadhri, assessed the petitioner-firm on the estimated purchase value of raw material, to the tune of Rs. 52,000 which was used in the manufacture of goods sold in the course of export.