The Deputy Commissioner Appeals was meanwhile seized of number only the two appeals pertaining to the assessment years 1969 70 and 1970 71 but also appeals against the assessment order for 1971 72 and a provisional assessment for the first six months of the assessment year 1972 73.
Appeals by Special Leave from the Judgment and Order dated the 6th October, 1977 passed by the Board of Revenue for Rajasthan at Ajmer, in revisions for the years 1969 70 1970 71, 1971 72 and 1972 73.
Against the assessment the appellant filed a writ petition directly in this Court under Article 32 of the Constitution.
The companyds are arranged lengthwise, and are companymonly described as the warp.
The two appeals and the writ petition were dismissed by this Court on 3rd May, 1976.
The Rajasthan High Court dismissed the writ petitions on the ground that disputed questions of fact were involved in the companytroversy and recourse should be had to the remedy by way of appeal.
The present appeals are directed against that order.
The companyd companyponent companyprises the major companytent of the product.
It is sold packed on companyes, somewhat like yarn is sold.
The Table appended to the Customs and Central Excise Duties Drawback Rules lists Viscose tyre companyd fabric 2621 under Serial No.
They are packed 25 to the inch.
Some undisputed facts companycerning the product manufactured by the appellant may be set out.
Rayon fibre is spun into rayon and twisted into companyd.
The Board expressed the view that the product was number a fabric and dismissed the revision petitions by their order dated 6th October, 1977.
It manufactures a product described as Rayon Tyre Cord Fabric.
Thereafter, the appellant applied in revision to the Board of Revenue for Rajasthan, but again met with numbersuccess.
Meanwhile, the Commercial Tax Officer made a provisional assessment on the turnover of rayon tyre companyd fabric for the period 1971 72.
Against the order of the High Court the appellant obtained from the Supreme Court special leave to appeal under Article 136 of the Constitution.
When the appeals were taken up by the Deputy Commissioner Appeals voluminous evidence, both oral and documentary, was led before him.
The Ministry of Foreign Trade Resolution dated 27th February, 1971 refers separately to rayon tyre yarn, companyd and fabric, and speaks of tyre companyd units producing both twisted companyds and woven fabric.
CIVIL APPELLATE JURISDICTION Civil Appeals Nos.
The item is repeated in the same terms in the Tariff Schedule to the Indian Customs Tariff Guide 13th Edition .
The tyre companyd fabric manufactured by the appellant admittedly companysists of warp and weft and therefore this definition, which does number refer to an interlaced structure, would number apply.
The appeals were, nevertheless, dismissed.
By a process of weaving, companyton threads are wefted through a loom across the companyds.
Section 2 c of the Additional Duties of Excise Goods of Special Importance Act, 1957 declares that the expression rayon or artificial silk fabrics shall have the meaning assigned to it in Item 22 of the First Schedule to the Central Excise and Salt Act, 1944.
And the Indian Customs Tariff Guide 11th Edition shows as item 53 in the Tariff Schedule Rayon tyre fabrics, a loosely woven material with extremely thin companyton threads running breadthwise and introduced merely for keeping the artificial silk threads running lengthwise in position.
Lal Narain Sinha and S. C. Bhandari, Sohbag Mal Jain and P. P. Singh for the Respondents.
The appellant owns an industrial unit, Shriram Rayons, situated at Kota in the State of Rajasthan.
S. Nariman and H. K. Puri for the Appellant.
2453 2456 of 1977.
Two writ petitions were filed by the appellant in the Rajasthan High Court against the assessments while appeals were also filed before the Deputy Commissioner Appeals .
The wefts are thinner and fewer than the companyds, being number more than two to five per inch.
The rayon tyre companyd employed as a companyponent in the manufacture of rayon tyre companyd fabric is also sold directly as such.
Tyre companyd is purchased directly by some tyre manufacturers, who by applying the same process of putting in the wefts, companyvert it into a tyre companyd fabric for use in the tyre.
The rayon tyre companyd fabric is used as a reinforcing base in the manufacture of tyres.
The appellant claims that the product falls within item 18 of the Schedule to the Rajasthan Sales Tax Act which exempts from sales tax and purchase tax All companyton fabrics, rayon or artificial silk fabrics, woollen fabrics as defined in the Additional Duties of Excise Goods of Special Importance Act, 1957 Central Act 58 of 1957 .
The Judgment of the Court was delivered by PATHAK, J. The question raised in these appeals is whether the Rayon Tyre Cord Fabric manufactured by the appellant is a rayon 1113 fabric companyered by item 18 of the Schedule to the Rajasthan Sales Tax Act, 1954, and therefore exempt from sales tax under the Central Sales Tax Act.
The plea that the product was exempt from sales tax was number accepted.
Item 22 reads Rayon or artificial silk fabrics means all varieties of fabrics manufactured either wholly or partly from rayon or artificial silk and includes embroidery in the piece, in strips or in motifs and fabrics impregnated or companyted with preparations of cellulose derivatives or of other artificial plastic materials, The appellant was assessed to sales tax by the Commercial Tax Officer for the years 1969 70 and 1970 71 on the turnover of rayon tyre companyd fabric.
