39 of the Notification.
Parliament enacted Essential Goods Declaration and Regulation of Tax on Sales or Purchases Act, 1952 Act No.
30 of 1950 , hereinafter called the Act.
On February 27, 1956, the Sales tax Officer, Indore, determined the taxable turnover at Rs.
The respondent made a default in furnishing the returns prescribed by s. 7 i of the Act for the period April 1, 1954, to March 31, 1955.
So long as iron and steel companytinue to be raw materials, they enjoy the exemption.
Scrap iron purchased by the respondent was merely re rolled into bars, flats and plates.
1,000 under s. 14 1 c of the Act.
59, dated October 24, 1953.
A Division Bench of the High Court held that the iron bars, flats and plates sold by the respondent were exempted from sales tax under the Notification.
The joint family owns a re rolling mill situated in Indore City called the Central India Iron and Steel Company.
The state has filed the present appeal, by special leave.
In that view, the orders of the Sales tax Officer were quashed.
The facts are as follows Hiralal, the respondent, is the manager of a joint Hindu family carrying on business in the name and style of Messrs. Tilokchand Kalyanmal.
52 of 1952 , which came into force on August 9, 1952.
2,26,000 and the sales tax payable thereon at Rs.
In Schedule I of the said Act, iron and steel were declared essential for the life of the companymunity.
On September 10, 1956, the respondent filed a petition in the High Court of Madhya Bharat afterwards Madhya Pradesh under Arts.
39 of the Notification No.
58, dated October 24, 1953, hereinafter called the Notification, issued by the Government of Madhya Bharat under the Madhya Bharat Sales Tax Act, Samvat 2007 Act No.
On the same day he issued demand numberices to the respondent for the payment of the said sales tax and the penalty.
8,000 and he also imposed a penalty of Rs.
Thereafter, the Government of Madhya Bharat, in exercise of the powers companyferred by s. 5 of the Act, issued the Notification as also Notification No.
Subba Rao, J. This appeal by special leave raises the question of the interpretation of Item No.
The said family purchases scrap iron locally and imports iron plates from outside and after companyverting them into bars, flats and plates in the Mills sells them in the market.
226 and 227 of the Constitution for the issue of appropriate writs quashing the assessment of tax and penalty and to restrain the State from giving effect to the said orders of the Sales tax Officer.
