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TMI Blog2005 (5) TMI 685X X X X Extracts X X X X X X X X Extracts X X X X ..... etc. The applicant before the assessing authority claimed that; the goods manufactured by it are classified goods and liable to be taxed under the notification No. 6566 dated 12th of September, 1976 under the Entry-Indoor and Outdoor sports and games. The said contention was not accepted by the Assessing Authority on the finding that the equipments manufactured by the dealer are utilized in amusement park and they do not classify themselves under the category "games" or "sports'". It was noticed by the Assessing Authority that the dealer itself has realized the tax on the sale of manufactured goods at the rate of 10 per cent. The main object of the goods manufactured by the applicant being the recreation and amuseme ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... r Section 7 there of and having his place of business in Utter Pradesh, in respect of the sale by him in the goods mentioned in column 2 of the List below shall be calculated at the rate mentioned against each in column 3 of the said List. Sl. No. Description of Goods. Rate of Tax 1 2 3 1. ... ... ... ... 2. ... ... ... ... 3. ... ... ... ... 9-Goods for indoor or outdoor games or Sports, except those included in any other Notification issued; under the Act, toys, swing, Jhoota, medals, cups, trophies, badges and whistles." 4% 5. Under the aforesaid notification the goods for indoor or outdoor games or sports have been made liable to tax at the rate of 4 per cent Such goods which have been included in any other notificat ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... activity or sport usually involving skill, knowledge, or chance, in which you follow fixed rules and try to win against an opponent or to solve a puzzle." 8. The word "sport'' as defined, explained and the meaning assigned to it in the Advanced learner's English Dictionary by Collins ? Cobuild is reproduced as below:- "Sports are games such as football and basketball and other competitive leisure activities which need physical effort and skill" 9. Reliance was also placed on the judgment of this Court in CST v. Bhutani Sports STI 1982 Allahabad S.C. 273. It has been held in this case that baby walker is to be taxed as a toy and not as a tricycle. Similarly, balloons are toys in the common commercial parl ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... er the scientific or technical meaning. The Supreme Court has observed that how the product is identified by the class or section of people dealing with or using the product, is also a test when the Statute itself does not contain any definition and commercial parlance would assume importance when the goods are marketable. It has considered the observation made by the Exchequer Court in King v. Planters Nut and Chalklet Co. Ltd. 1951 (CLR 122). Dealing with the meaning of the term 'Vegetables" it was held by the said Court that it is not botanist's conception as to what constitutes a 'fruit or vegetable' which must govern the interpretation to be placed on a word but rather what would ordinarily mean in the matters of c ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... l sense. The same view has been reiterated by the Apex Court in the case of South Bihar Sugar Mills Limited v. Union of India AIR 1968 S.C. 922 and Dunlop India Ltd. v. Union of Indian 1977 S.C. 597. 14. The indoor and outdoor game, in their popular meaning comprises such games, or sports which develops mental or physical skill off a human being. A game especially one involving bodily exercises is covered within the meaning of word "sports" as defined in the Chamber's dictionary. To my mind games and sports are qualified by the words indoor and outdoor. In common parlance the indoor and outdoor games and sports conceptually require skill in which fixed rules are followed to win against an opponent. The element of skill and de ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... , Bhoot Bungalow etc. provide entertainment or amusement and lacks any rule to play. 16. Reference can be made to certain observations of the apex court, though made in a different context but has some relevance to the issue involved herein. The Supreme Court in the cage of P.S. RAMAMAMOHANA RAO V. A.P. AGRICULTURAL UNIVERSITY AND ANR., JT 1997(7) SC 17, while considering the age of retirement of physical director in the collage. Has observed that it is one of his important duties to guide the students about the various rules of the various games and sports. The relevant portion reads as follows:- "It is well known that different games and sports have different rules and practices and unless the students are guided about the said ru ..... X X X X Extracts X X X X X X X X Extracts X X X X
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