JETHMAL RAMSWAROOP Vs. STATE

JUDGEMENT

(1.) THESE are two connected cases under Article 226 of the Constitution and will be disposed of by one judgment as the point raised in them is the same. Case No. 29 is filed by three firms of Balotra, namely Messrs, Jethmal Ram Swarup, Messrs. Bansidhar Hastimal and Messrs. Madholal Rames-warlal. Case No. 150 is also filed by a firm of Balotra, Messrs. Bansidhar Kanmal.

(2.) THE applicants in the two cases prepare Misri, Batasa, Makhana, Ola and toys from sugar and sell them in the market. Their case is that their preparation is really nothing more than sugar and as sales-tax is already paid on the sugar used by them, no further sales-tax can be charged on the articles prepared by them out of sugar. In the alternative, their case is that these articles prepared by them are deshi sweetmeats which are exempt under serial No. 14 of the Schedule to the rajas-than Sales Tax Act (No. XXIX of 1954) hereinafter called the Act. Consequently, no sales-tax could be charged on sales of these articles made by them. The Sales Tax Officer, Barmer, however, called on them to furnish returns of their turnover for the purpose of assessment of sales-tax. They represented to the sales Tax Officer that they were not liable to pay any sales-tax on the articles prepared by them. The Sales Tax Officer, however, overruled their contention and assessed them on the gross turnover of their business. It seems that these articles are not the only articles in which Messrs. Bansidhar Kanmal are dealing and their claim apparently was that the sales of these articles should not be taken into account in calculating their gross turnover. The Sales Tax Officer, however, rejected the contentions of the applicants of both cases and assessed them to sales-tax. Consequently, the present applications were filed in this Court.

(3.) A preliminary objection has been taken on behalf of the State that this Court should not interfere in Its extraordinary jurisdiction at this stage as the applicants had an equally efficacious and convenient alternative remedy by way of appeal and revision under the Act.