TMI Blog1962 (1) TMI 44X X X X Extracts X X X X X X X X Extracts X X X X ..... on 8(3)(b) of the Sales Tax Act as being required for use in manufacture. The petitioner claimed that the following goods should be specified in the registration certificate, namely, (i) Locomotives and motor vehicles, (ii) Accessories and spare parts for motor vehicles and locomotives, (iii) Household, laboratory, hospital and general furnishing and fittings. (iv) Medical supplies. (v) Stationery. (vi) Tyres and tubes for motor vehicles, and (vii) Cane baskets. The case of the petitioner is that these goods were intended for use in the manufacture or processing of goods for sale and in mining, which included (i) mining ores, (ii) copper refining, and (iii) manufacture of brass sheets. By his order dated the 9th March, 1959, the Assistant Commissioner of Sales Tax held that the petitioner was not entitled to the specification of the following goods in the registration certificate: (i) Household, laboratory, hospital and general furnishing and fitting, (ii) Medical supplies, (iii) Stationery. By another order dated the 14th January, 1961, the Additional Superintendent of Sales Tax held that the petitioner was not entitled to have the other items of goods included ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... wages registers and all necessary forms and schedule under the Mines and Factories Acts. Progress reports and records of work done in the foundry and factory for the manufacture of goods. 6.. Tyres and tubes for motor vehicles.-Necessary for the maintenance of motor vehicles as given in 2 above. 7.. Cane baskets.-They are necessary for carrying ores and other materials which are used in manufacture and also are used by the sanitary department for collecting refuse to protect the health and cleanliness of the colony and the workmen employed in the manufacture of goods. Summing up: all the items are required in connection with the operations relating to the production of copper and for the labour employed in those operations." On behalf of the petitioner the submission of learned counsel is that items Nos. 1, 2, 6 and 7 are directly covered by the language of section 8(3)(b), as they are intended for use by the petitioner in the manufacture or processing of goods for sale or in the mining process. As regards item No. 3-hospital equipment, item No. 4-medical supplies, and item No. 7 (second part)-cane baskets used by the sanitary department, the argument of learned counsel for t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of the registered dealer purchasing the goods as being intended for re-sale by him or subject to any rules made by the Central Government in this behalf, for use by him in the manufacture or processing of goods for sale or in mining or in the generation or distribution of electricity or any other form of power." I am unable to accept the argument put forward on behalf of the petitioner that item No. 3-hospital equipment, item No. 4-medical supplies, and item No. 7 (second part)-cane baskets for sanitary use, fall within the language of section 8(3)(b) of the Central Sales Tax Act and that the petitioner is entitled to have them included in the certificate of registration under this section. I shall assume in favour of the petitioner that there is a statutory duty imposed upon the petitioner to provide hospital equipment for the workers and also to provide cane baskets for protecting the health and cleanliness of the workers employed in the mine or the factory. I shall also assume in favour of the petitioner that the provision of hospital equipment, medical supplies and sanitary equipment is incidental to the manufacturing or mining process carried on by the petitioner. Even so, I ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... n the registration certificate of item No. 3-hospital equipment, item No. 4-medical supplies, and item No. 7 (second part) cane baskets for sanitary use. It follows that the petitioner is not entitled to item No. 5-stationery, also. I would, therefore, reject the argument of learned counsel for the petitioner on this aspect of the case. The claim of the petitioner with regard to items Nos. 1, 2, 6 and 7 (first part) stands on a different footing. As regards item No. 1 locomotives and motor vehicles, it was contended on behalf of the petitioner that locomotives and motor vehicles are used in carrying ores and raw materials to the site of manufacture and also used for transport of the finished goods after the process of manufacture, and so they may be specified in the registration certificate. The question presented for determination is whether the claim of the petitioner falls within the language of rule 13, and whether motor vehicles and locomotives used for carrying ores aud raw materials to the factory before the actual process of manufacture starts can be said to be locomotives and motor vehicles intended for use "in the manufacture or processing of goods for sale or in mini ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e normal process of manufacture or mining so that the petitioner may make sure that the ores come up to a particular specification or the goods are manufactured according to the terms of the contract. I am, therefore, of the opinion that the petitioner is entitled to have item No. 3 (second part)-laboratory fittings-specified in the certificate of registration. The view that I have expressed is supported by a decision of the King's Bench Division in Action Borough Council v. West Middlesex Assessment Committee and Another[1949] 2 K.B. 10., where it was held that the testing of the propellers is an essential part of the process of manufacture, and the hereditament where the propellers were tested was an "industrial hereditament" within the meaning of section 3 of the Rating and Valuation (Apportionment) Act, 1928. For these reasons I hold that this application must be partly allowed and a writ in the nature of mandamus should be issued commanding respondent No. 3, namely, the Additional Superintendent of Sales Tax, Singhbhum, Jamshedpur, to specify the following goods in the certificate of registration under section 8 (3) (b) of the Central Sales Tax Act, read with rule 13: (1) Lo ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
