TMI Blog1972 (7) TMI 99X X X X Extracts X X X X X X X X Extracts X X X X ..... case carries on business in the manufacture and sale of cotton ropes and he was assessed for the year 1962-63 at Rs. 1,95,114.25 of which the turnover of Rs. 1,92,861.82 was taxed at 2 per cent. and the balance of Rs. 2,252.43 was taxed at 1 per cent. The assessee preferred an appeal to the appellate authority challenging the assessment to tax at 2 per cent. in respect of sales of cotton ropes effected from 22nd August, 1962, to 31st March, 1963, amounting to Rs. 1,11,535.33, relying on the above notification which gave the benefit of reduction in the rate of tax to "braided cord". The appellate authority accepted the contention of the assessee that he is entitled to the benefit of the said G.O. for the period after 22nd August, 1962, and m ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ording to the learned counsel, the Board of Revenue being a functionary charged with the administration of the Madras General Sales Tax Act is bound by its own clarification and it cannot change its opinion with reference to each case. We are of the view that the clarificatory order issued by the Board of Revenue on 17th April, 1963, to other individuals cannot be taken as a statutory order or notification. The Board of Revenue is not an authority constituted under the Act to issue notifications under section 17 of the Act to notify exemptions and reductions of tax, and that power is only vested with the State Government. It may be that the Board of Revenue took a particular view in respect of another individual with reference to the articl ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e, the Hyderabad General Sales Tax Act imposes a duty on every dealer to pay tax on the goods sold or purchased by him as required by the provisions of the Act. That being so, the dealer was under a liability to pay tax on his turnover and it was not competent for any official of the department to release any dealer from payment of such tax. Such a release will be null and void and cannot be relied upon by any dealer to evade payment of tax." In a recent decision in Kashmir House v. Deputy Commissioner of Commercial Taxes [1971] 28 S.T.C. 297., a Division Bench of the Andhra Pradesh High Court while dealing with a similar situation has expressed the view thus: "The Act does not authorise the Board of Revenue or any other authority to issu ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... r the first time now. We, therefore, proceed to consider the petitioner's contention that ropes will come under the term "braided cord". The word "braided" has been defined in the New Standard Dictionary by Funk and Wagnalls as "to weave together by passing of strands alternately over and under each other; interlace, plait; give the appearance of a braid to, as to braid the hair, or straw-Golden tresses wreathed in one". " 'Cord' has been defined as 'a string or small rope made by twisting several strands together'; twine and 'rope' has been defined as 'a construction of wire or twisted fibres, as of hemp, cotton, flax or jute, so intertwined as to form a thick cord capable of sustaining a severe strain'. Commonly, rope consists of rope y ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nd it has been expressed that "cord" means twisted thread thicker than string and thinner than rope, that ordinarily "cord" is understood as rope of small diameter or a thick string, that string, cord and rope are different species of the same genus, namely, yarn, and that yarn as such means spun thread which may form one of the threads of a string, cord or rope. But that decision will not help the petitioner as the word "braided" did not come up for consideration in that case. While construing the words "braided cord" as occurring in the notification, it is not possible to overlook the significance of the word "braided" and place emphasis only on the word "cord". As already stated, though the rope manufactured and sold by the petitioner ma ..... X X X X Extracts X X X X X X X X Extracts X X X X
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