TMI Blog2003 (4) TMI 539X X X X Extracts X X X X X X X X Extracts X X X X ..... 2.. Petitioners state in these petitions that the Act was initially enacted to levy tax on commodities like cigarettes and the luxuries provided in a hotel. The said Act was amended by Act No. 5 of 2001 and "silk fabrics" were inserted as item No. 4 in the Schedule to the Act with effect from April 1, 2001. An association representing the petitioners approached the Government with regard to their difficulties in the matter. Government thereafter issued an exemption notification. However, the respondents are demanding tax for the period from April 1, 2001 to August 24, 2001 in the case on hand. In these circumstances, petitioners are before me. 3.. In the body of the petition, petitioners have stated that silk fabric is not a luxurious com ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ril 1, 2001 in terms of the notification, the other issues need not be considered at this stage. 6.. Per contra, Sri Anand, learned High Court Government Advocate, argues that the tax is constitutionally valid and is sustainable in law. In so far as annexure A is concerned, learned counsel invites my attention to section 5-A to contend that the payment is to be made in advance and monthly statement is required to be shown by the parties. He also says that the notification cannot be given retrospective effect. 7.. After hearing, the counsel I have carefully perused the material on record. Let me first consider the effect of annexure A in the given set of circumstances. If annexure A is available from April 1, 2001, there is no necessity ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... f any year, means the aggregate of the value of stocks of luxuries." "Year" has been defined as under: "'Year' means the year commencing on the first day of April". A combined reading of these definitions would show that tax is referable to the year in terms of the provisions. In fact in the notification the Government has exempted tax payable under the Act by the stockist on his turnover of stock of silk fabrics. As I mentioned earlier turnover of stock in terms of the Act is in relation to a stockist in respect of any year and year means commencing from the first day of April. A combined reading of these definitions in the light of annexure A will make it clear that the exemption is to be from April 1, 2001. Any other interpretation ..... X X X X Extracts X X X X X X X X Extracts X X X X
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