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TMI Blog1969 (11) TMI 89X X X X Extracts X X X X X X X X Extracts X X X X ..... cases, it is found that he has issued both the bills on the same dates, the dates on which the printed material was delivered. THE petitioner was assessed to sales-tax for the entire amount he received both for the sale of paper and for printing charges. The petitioner disputed the levy; and the matter came to this Court once. This Court remanded the case for fresh consideration indicating that the petitioner would be liable to sales-tax only if what he delivered to his customers the printed material was "paper product". After the remand, the Tribunal considered the matter afresh and held that what the petitioner delivered to his customers was paper product. It is the correctness of this decision that is being challenged in this r ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... be incidental. If so, the supply of the printed material will not be a sale of goods and the transaction will not be taxable either. The second mode of looking at the question is to treat the contract as really two contracts, one for the supply of paper and the other a contract for printing. Then, the first contract for the supply of paper will involve a sale of goods and that is taxable too. But, in the case before us, paper is taxable only at the first sale point; and the petitioner's sale not being the first sale, is not taxable. Therefore, even if the transaction is to be viewed in this manner, even then the sale of paper cannot be taxed. And the money received as printing charges cannot also be taxed, because that involves no sale ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... have been placed before us regarding the meaning of the word "paper" and also regarding the meaning of the expression "paper product". Paper evidently has two meanings, one a restricted meaning and other a wider or extended meaning. "paper" is not defined in the Sales-tax Act; and therefore, the word has to be given the meaning it has in common parlance or in popular language, i. e., the word must be understood in the sense in which people conversant with the subject-matter of the statute understand it (vide Ramavathar Budhaiprasad v. The Assistant sales-tax Officer, Akola'. 12 STC. 286 Supreme Court). The Shorter Oxford english Dictionary says that paper is "a substance composed of fibres interlaced ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... eneral Sales-tax Act, with which we are dealing, the word "paper" is presumably used only in the first meaning, the meaning the word has in common parlance the meaning the word has in popular language and not in any wider or special connotation. The Shorter Oxford English Dictionary defines "product", inter alia, as "that which is produced by any action, operation, or work". If this meaning of the word "product" is applied to the case before us, it may certainly be said that the printed material is a "product"; it is a product of the action, operation, or work the printing. But, can it be said that the printed material is a product of paper? Obviously the answer must be "no. ". If ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ail to understand how similar printed material supplied by him to his other customers can be paper product. We shall now refer to the decision of this Court by isaac J. in Srinivasa Printing Works v. Sales-tax Officer, Kasaragod (20 STC. 278), which was brought to our notice and on which some reliance was also placed. The petitioner in that case executed job works as printer; and he was taxed on the amounts received by him in consideration for such works. Our learned brother held that the execution of works done by a printer did not involve any "sale", nor did the charges received by him constitute "turnover". In the course of the judgment the learned judge discussed the question as to what was meant by the expression & ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... matter further in this case. 5. In the same decision, the learned judge has said the paper product means "an article different from paper" and "something produced with or out of" paper. This appears to be quite obvious. But, this does not solve the problem. It is suggested during the course of the arguments before us that for "paper" to become a "paper product" the main characteristic or the main utility of paper must be lost and a new characteristic or a new utility is acquired. The main characteristic or utility of paper is to be printed upon, to be drawn upon to be written upon, etc. , and if by some process (action, operation, or work) that characteristic or utility is lost and the product acquir ..... X X X X Extracts X X X X X X X X Extracts X X X X
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