TMI Blog1999 (6) TMI 460X X X X Extracts X X X X X X X X Extracts X X X X ..... nder section 8(1)(a) of the Act vide entry 8 of the Second Schedule. Prior to the commencement of the Act, zarda being a tobacco product was exempted from sales tax under Act, 1947, vide entry 47 of the Third Schedule (since repealed with effect from July 1, 1993). The entry 47 remained in force up to June 30, 1993, till replacement of Assam Sales Tax Act, 1947. It is, therefore, contended that zarda was exempted from sales tax under the Act, 1947, with effect from December 14, 1957 for more than 35 years up to June 30, 1993 before being subjected to tax under the Assam General Sales Tax Act, 1993 as stated above. But tax on zarda has been withdrawn on deletion of entry 8 in the Second Schedule w.e.f. May 1, 1997 by Notification No. FAX. 50 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ior Government Advocate, Mr. H.N. Sarma, the State Government of Assam, has been getting the share of its excise duty from the Central Government under the provisions of the Additional Duties of Excise (Goods of Special Importance) Act, 1957. The submission of Mr. Phukan is that State cannot levy sales tax on tobacco (zarda), since levy of additional excise duty on tobacco under the Act, 1957, which is clearly in lieu of sales tax and the State is getting a proportional share thereof from the Central Government, the State Government is not entitled to get the share simultaneously in the additional duties of tax. 5.. As stated above, the learned Government Advocate also admitted this position. Under the Act, 1957 an additional excise duty ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... thdrawn the levy on tax w.e.f. May 1, 1997 vide Notification No. FTX. 50/ 97/pt/2. 8.. During the course of the hearing, this Court directed the Government Advocate Mr. Sarma, to furnish the details of the share from additional excise duties, received by the respondent No. 1, the State of Assam. Copies of the Second Schedule and the budget receipts for the years 1991-92 to 1997-98 of the Government of India showing distribution of additional excise duties in lieu of sales tax to each State were furnished by the petitioner which showed that the share of the State Government was withdrawn during this period, in lieu of tax as stated above. 9.. This being the factual as well as legal position which the learned Government Advocate also fair ..... X X X X Extracts X X X X X X X X Extracts X X X X
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