TMI Blog1950 (8) TMI 17X X X X Extracts X X X X X X X X Extracts X X X X ..... peal to the Assistant Commissioner of Taxes, Assam, in which he contended-(i) that tobacco being an item asses- sed to tax by the Central Excise, the Superintendent of Taxes, Assam, erred in law in assessing the appellant again on the sale of the same item, (ii) that the Assam Sales Tax Act, 1947, has nowhere defined the item "tobacco", that in any case, the type of tobacco in which the petitioner traded is not included in Schedule I, item 8 "tobacco", men- tioned in Section 3 of the Central Excise and Salt Act, 1944. The Assistant Commissioner of Taxes, Assam, however, dismissed the applicant's appeal observing: "As regards the 1st point, the learned pleader for the appellant argued that 'hooka tobacco' is exempt from sales tax and, as s ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... r the Assam Sales Tax Act and not "tobacco leaf." The latter was capable of being used as a disinfectant for making biris and cigars. In the learned Commissioner's view "hooka tobacco" means some form of manufactured or processed tobacco, and in this view he declined to make a reference, holding that manufacture or processing of tobacco was a question of fact, and not one of law. We think the learned Commissioner was right in refusing to make a reference, as the matter does not involve any question of law. Clause (f) of Section 2 of the Central Excise and Salt Act, 1944, defines the term "manufacture" as including any process incidental or ancillary to the completion of a manufactured product; and in relation to tobacco, includes the prep ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... rial No. 17 of Schedule 3 attached to the Sales Tax Act, 1947 (Assam Act XVII of 1947), and, as such, exempt from taxation under the said Act." The question so framed is misleading. The Superintendent of Sales Tax has not taxed the sales of "hooka tobacco" but he has taxed the sale of "tobacco leaf ". Whether the tobacco leaf imported by the petitioner was to be used as "hooka tobacco" under his permit is im- material so long as it was sold as "tobacco leaf". It is admitted by the learned Advocate for the petitioner that the petitioner sold "tobacco leaf", and not "hooka tobacco", but his contention is that tobacco leaf sold was to be used as "hooka tobacco" by the purchaser. That may be. What is subject to levy of sales tax is the transa ..... X X X X Extracts X X X X X X X X Extracts X X X X
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