9911796707
TMI Blog2006 (9) TMI 508X X X X Extracts X X X X X X X X Extracts X X X X ..... 1983-84 was finalised by the Assessing Authority, Ropar, vide his order dated March 10, 1987. In this assessment orders, inter-State sale in regard to supplying of khair wood to M/s. Mahesh Wood Products (P) Limited, Khawra Road, Bahetgarh, District Sonipat (Haryana) against 'C' forms was taxed at four per cent and on this account additional demand of Rs. 16,241 was created. This additional demand included penalty and interest under section 9(2) of the Central Sales Tax Act, 1956 read with sections 10(6) and 11(d) of the Punjab General Sales Tax Act, 1948. Against the orders of the Assessing Authority, dated March 10, 1987 an appeal was filed before the Deputy Excise and Taxation Commissioner (A) who vide his order dated May 30, 19 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... de on the ground that "khair" sold by the assessee was not used as "timber" for building purposes but was sold for extraction of katha, which fact was not denied by the assessee. It was submitted that use of "khair" wood by the assessee could not be conclusive. The order of the appellate authority referred to by the learned counsel for the assessee which extracts the definition from the Himachal Pradesh Private Forest Act, 1954 and the dictionary is as under: Himachal Pradesh Private Forest Act, 1954 "Timber includes trees when they have fallen or have been fallen and all wood whether cut up or fashioned or followed out for any purpose or not." Webster Universal Dictionary (page 1557) "Timber, ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... botanists'. . . . 15 . . . Here again, pushed to its logical conclusions, the reasoning incurs the criticism of proceeding to determine the nature of the 'goods' by the test of the use to which they are capable of being put. The 'user-test' is logical; but is, again, inconclusive. The particular use to which an article can be applied in the hands of a special consumer is not determinative of the nature of the goods. Even as the description of the goods by the authorities of the forest department who called them varyingly as 'eucalyptus fuel-wood' 'eucalyptus wood-heap', etc., is not determinative, the fact that the purchasers were dealers in timber is also not conclusive. . . . 17.. The question is n ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ases can at all be laid down. The point to note and emphasise is that all parts or portions of even a timber-tree need not necessarily be 'timber'. Some parts are timber, some parts merely 'fire-wood' and yet others merely 'wood'. Having regard to the nature and description of the wood in the present case, we think, the 'wood-heaps' are not susceptible to be or admit of being called 'timber' with all the concomitants and associations of that idea. Perhaps, different considerations might apply if, say, the pieces of eucalyptus wood are of a longer-length or of a higher girth. Differences of degree can bring about differences of kind." Learned counsel for the assessee also relied upon the Himac ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... lance test and for holding "khair" wood to be "timber" or otherwise, we have to ascertain whether in common parlance, "khair" wood and "timber" are considered to be the same commodity. It has been concurrently held by the authorities in the present case that "khair" wood was a different commodity than timber. In common parlance, meaning of term "timber" has been noticed in the judgment of the honourable Supreme Court in Ramavatar's case [1961] 12 STC 286. It has also been judicially noticed in the judgments relied upon by the learned counsel for the State that "khair" wood is a raw material for katha and it is used as such which supported the stand that in common parl ..... X X X X Extracts X X X X X X X X Extracts X X X X
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