RAGU BROTHERS Vs. STATE OF RAJASTHAN

JUDGEMENT

(1.) THIS revision petition arises out of the order passed by the Deputy Commissioner, Excise & Taxation (Appeals) Jaipur dated the 3rd April, 1961 rejecting the petitioner's appeal against the assessment of the sales-tax made by the Sales Tax Officer for the petitioner's firm for the assessment year 1957-58.

(2.) THE only contention of the counsel for the petitioner was that the petitioner's firm was supplying sanitary materials and also took contracts for providing and fixing sanitary materials at a particular place or in a particular building. THE major turn over of the petitioner's firm was from the contracts made between the petitioner's firm and the parties for providing and fixing sanitary materials on their premises. THE counsel exhibited printed forms on the basis of which the contracts were entered into between the firm and the parties indicating the rates of each job including the price of the sanitary materials. He therefore, argued that on the authority of the principle laid down by the Supreme Court in the State of Madras Vs. Gaunlu Danerly & Co. relating to building contracts the petitioners were wrongly assessed to sales tax on the turn over earned by the petitioner from such contracts. THE Government Advocate pointed out that the principle of State of Madras Vs. Ganoun Danerly & Co. did not apply to this case and the contract for providing and fixing was divisible. In fact, there were two contracts. One for sale of material and the other for labour charges. THE petitioner's firm when called upon to supply the labour charges filed a list of those charges and hence the entire goods supplied by the petitioner's firm were properly taxed. He further pointed out that this Board has also applied the principle in the decision of the State of Madras Vs. Bannou Danderly & Co. in a case recently disposed of by this Board known as Man Industrial Corporation Vs. THE State of Rajasthan.