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TMI Blog1965 (11) TMI 97X X X X Extracts X X X X X X X X Extracts X X X X ..... , Senior Advocate (C.P. Lal with him), for the respondent. -------------------------------------------------- The judgment of the Court was delivered by SUBBA RAO, J.-This appeal by special leave raises the question of the interpretation of item No. 39 of the Notification No. 58, dated October 24, 1953, hereinafter called the "Notification", issued by the Government of Madh ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Rs. 2,26,000 and the sales tax payable thereon at Rs. 8,000; and he also imposed a penalty of Rs. 1,000 under section 14(1)(c) of the Act. On the same day he issued demand notices to the respondent for the payment of the said sales tax and the penalty. On September 10, 1956, the respondent filed a petition in the High Court of Madhya Bharat (afterwards Madhya Pradesh) under Articles 226 and 227 of ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... I of the said Act, iron and steel were declared essential for the life of the community. Thereafter, the Government of Madhya Bharat, in exercise of the powers conferred by section 5 of the Act, issued the Notification as also Notification No. 59, dated October 24, 1953. The material part of Schedule I of Notification 58 reads: "No tax shall be payable on the sale of the following goods:- S. N ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e shape of bars, flats and plates. In our view, this contention is not sound. A comparison of the said two Notifications brings out the distinction between raw materials of iron and steel and the goods prepared from iron and steel: while the former is exempted from tax, the latter is taxed. Therefore, iron and steel used as raw material for manufacturing other goods are exempted from taxation. So ..... X X X X Extracts X X X X X X X X Extracts X X X X
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