STATE OF BIHAR Vs. CHRESTAIN MICA INDUSTRIES LTD

JUDGEMENT

(1.) The assessee is a dealer in mica, having its place of business at Domchanch in the district of Hazaribagh. For the four quarters of the year 1948-49, the assessee submitted returns and its books of accounts were examined by the Sales Tax Officer, Hazaribagh. The returns of the assessee were not accepted as correct and the Sales Tax Officer made an assessment to the best of his Judgment under. Section 13(4) of the Bihar Sales Tax Act. The assessee preferred appeals before the Commissioner of Sales-Tax, but these appeals were dismissed. The assesses then took the matter in revision to the Board of Revenue.

(2.) The ground taken by the assessee was that the process of mining mica cannot be said to be a process of production or manufacture within the meaning of Section 2 (g) of Act VI of 1949, This contention was accepted by the Board of Revenue and the assessment of sales tax made upon the assessee for all the four quarters was set aside. In the course of its order the Board of Revenue said:,.

(3.) It is admitted -by the learned Government Advocate that for the two quarters covering 1st of April, 1948, to the 30th of September, 1948, the assessee was not liable to be taxed since the amendment of Section 2(g) made by the Bihar Act VI of 1949 came into effect only on the 1st of October, 1948. There is hence no dispute between the parties so far as the first two quarters of 1948-49 are concerned and it is necessary, therefore, to reframe the question in the following manner so as to bring out the real point in controversy between the parties:--