9911796707
TMI Blog1977 (3) TMI 141X X X X Extracts X X X X X X X X Extracts X X X X ..... 9?" As will be clear from our judgment, this question arises from a decision of the Tribunal which deals with the assessment of the applicantassessee for the period from 1st November, 1969, to 31st October, 1970, and also with the determination made by the Commissioner of Sales Tax on 3rd October, 1974, on an undated application under section 52 of the said Act made by the applicant which was received in the office of the Commissioner on 1st January, 1974. Entry 56 of Schedule C to the said Act has been amended with effect from 11th May, 1973. In view of this, with the consent of the counsel for both the parties, we are reframing the question referred to us by dividing the same into two questions as follows: (1) Whether, on a proper inter ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e E to the said Act. On this application the Commissioner of Sales Tax, after considering the material produced before him, held that the said articles were covered by entry 56 of Schedule C to the said Act. The applicant preferred an appeal against this decision to the Sales Tax Tribunal. Both the aforesaid appeals were heard together and were dismissed by the Tribunal by a common judgment. The present reference arises from this judgment of the Tribunal. The article in question is described by the applicant in its said application to the Commissioner of Sales Tax as a power-operated storage rack, which stores and shifts and places rolls in the printing department at the required place. In this application it was pointed out by the applica ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... bject, a novel means of storing articles so that very small storage space is required, and it is further claimed that this article makes it possible to remove individual articles without disturbing the other articles stored. The description given shows that the said article consists of a conveyor capable of moving along the vertical plane so that it could act as an elevator and that the articles stored are placed directly on the conveyor or on carriers provided with the conveyor. It is not necessary to go into the elaborate details given in respect of this article. Suffice it to say that it consists of a storage rack combined with a mechanised conveyor for moving the articles stored vertically as well as horizontally. Before we consider t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... and from this point of view as well as from the common-sense point of view such an article as described above cannot be regarded as furniture at all. It is, on the other hand, contended by the learned counsel for the respondent, that the main purpose of the said article is the storage of goods. The mere fact that there is some machinery attached to this article or that it is used in industrial establishments does not make any difference and the article remains a piece of furniture. It might be useful to refer to certain decisions for the proper interpretation of the expression "furniture" used in the aforesaid entry. In State of Uttar Pradesh v. Kores (India) Ltd.[1977] 39 S.T.C. 8 (S.C.)., the question was whether carbon paper was paper ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... oint of view, a dental chair could not be regarded as an item of furniture, but must be regarded as a specially designed equipment to enable proper dental treatment to be given to patients. Now, the statement of facts in the case before us shows that the applicant is a manufacturer of textile machinery. The article in question consists of not merely of storage rack but of such a rack which contains elaborate machinery, namely, a motorised conveyor for moving the goods to be stored. The use of this article is not merely for storage of goods but also the conveying of the same for the purpose of loading or unloading. From a common-sense point of view, it appears to us difficult to regard an article of this kind, containing such machinery as af ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... , the learned counsel for the respondent, relied very strongly on the decision of the Gujarat High Court in Chandan Metal Products Pvt. Ltd. v. State of Gujarat[1969] 23 S.T.C. 29. In that case, it was held, inter alia, that shelving racks and binstaks manufactured from iron and steel, and sold by a company manufacturing iron and steel products, component parts and accessories, are iron and steel furniture within the meaning of the said expression in entry 44H of Schedule C to the Bombay Sales Tax Act, 1959, as applicable to the State of Gujarat. This entry read thus: "Iron and steel safes, almirahs and furniture and upholstered furniture." It was held that a shelving rack is used in an office or an industrial organization for the purpos ..... X X X X Extracts X X X X X X X X Extracts X X X X
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