STATE OF PUNJAB Vs. SEWAK HOTEL

JUDGEMENT

(1.) This Letters Patent Appeal is by the State of Punjab and the Assessing Authority, Excise and Taxation Officer, Bhatinda, and is directed against the order of the learned Single Judge, dated the 15th March, 1963, allowing the writ petition under Article 226 of the Constitution of India by M/s. Sewak Hotel, Bhatinda (now respondent).

(2.) In the writ petition, the order of the Assessing Authority proceeding to assess the respondent to sales tax with effect from 1st April, 1959 to 31st March, 1960, was challenged, and as would appear from the judgment of the learned Single Judge, two contentions were advanced before him, namely-

(3.) He did not deal with the second contention because in his view the first contention was correct. The respondent-firm during part of the period to which the assessment proceedings related, enjoyed exemption from the levy of sales tax on account of item 49 of Schedule B to the Punjab General Sales Tax Act, 1948 (Punjab Act No. 46 of 1948), hereinafter referred to as the "Act" read with Section 6 of that Act. This section is as follows :-