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2010 (9) TMI 984 - BOMBAY HIGH COURTWhether the State excise duty paid directly by the C.L. II licence holders, the purchasers of country liquor from the petitioners, who are the manufacturers, is to be included in the sale price to be exigible to the payment of sales tax under the Bombay Sales Tax Act, 1959? Held that:- In view of what has been held by the apex court in Mohan Breweries case [1997 (9) TMI 500 - SUPREME COURT OF INDIA] in our view, the petitioners cannot escape the liability to pay sales tax on the State excise duty for the period in question. Though the petitioners had challenged the constitutional validity of Explanation I to clause (29) of section 2 of the said Act and had also in the alternative prayed that in the event the court upholds the constitutional validity, then the said provision be read down so as to mean than the sale price does not include the State excise duty and therefore no sales tax is payable on the State excise duty paid directly by the C.L. II licence holders on the sale of country liquor by the petitioners. No submissions were advanced in support of the said challenge by the learned counsel for the petitioners and, therefore, it would have to be understood that the petitioners have given up the said challenge. Appeal dismissed.
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