STATE OF BIHAR Vs. RAMESHWAR JUTE MILLS LTD

JUDGEMENT

(1.) THIS case is stated by the Board of Revenue under Section 25(1) of the Bihar Sales Tax Act (Act XIX of 1947).

(2.) THE assessee is an incorporated company called Messrs Rameshwar Jute Mills Limited of Mukhtapur in the district of Darbhanga. Assessment was made by the authorities under Section 13(2)(b) of the Sales Tax Act for the five quarters ending 30th September, 1947, 31st December, 1947, 31st March, 1948, 30th June, 1948, and 30th September, 1948. For these five quarters the taxable turnover was determined to be Rs. 9,21,043-0-0, Rs. 9,39,910-0-0, Rs. 12,09,864-12-0, Rs. 6,58,752-0-0 and Rs. 6,92,895-0-0.

(3.) AFTER hearing learned counsel for the parties we are of opinion that the questions should be altered in the following manner : "(1) Are the sales of 'loom hours' in the circumstances of this case taxable under the provisions of the Bihar Sales Tax Act of 1947 ?" and "(2) Are the sales of gunny bags which were delivered to Messrs Tata Iron and Steel Co. Ltd., Jamshedpur, sales to Messrs Shaw Wallace and Co. in the circumstances of this case or whether they were sales to Messrs Tata Iron and Steel Co. Ltd., and therefore exempt under Section 5(2)(a)(ii) of the Act ?"