Hegde, J. - (1.) A common question of law arises for decision in these appeals by special leave and that question is whether the High Court acted illegally in declining to call upon the Rajasthan Board of Revenue to state a case and refer the same to it under Section 15 of the Rajasthan Sales Tax Act, 1954 (Act XXIX of 1954) (to be hereinafter referred to as the Act) . The appellants, the assessee required the Board of Revenue to refer to the High Court under Section 15 (1) of the Act as many as four questions but the Board declined to refer those questions to the High Court. Thereupon the assessee moved the High Court to call upon the Board to state a case and refer to the High Court the questions of law formulated by it. The High Court rejected that reference summarily observing:"Heard learned counsel for the parties. We agree with the view taken by the Boards of Revenue. The decisions in State of Gujarat v. M/s. Raipur Manufacturing Co. Ltd. AIR 1967 SC 1066; State of Madras v. M/s. K. C. P. Ltd. AIR 1969 SC 348 are not applicable as the expression 'business' has been defined retrospectively in the Rajasthan Sales Tax Act so as to include any transaction in connection with or incidental or ancillary to the ordinary business of the dealer. The business of the assessee is manufacturing of cotton yarn with the aid of machinery and the sale of old and discarded machinery is incidental to the business carried on by the trader and is taxable. Rejected summarily".
(2.) These appeals are directed against the said order.
(3.) The appellant is a registered dealer under the Act. The Commercial Tax Officer, Kota passed separate assessment orders on November 13, 1964 for the period 1-7-1960 to 30-6-1961. In that order in computing the assessee's turnover he took into consideration the price received by the assessee in respect of the sales effected by it of iron and steel defectives, machinery and spare parts etc. The assessee is a dealer in cotton yarn and cotton goods. It is not a dealer in iron and steel defectives or machinery or spare parts. Some of the machinery used by it had become antiquated, and some of the parts of its machinery had worn out. In order to modernise his mills, it sold its old machinery and spare parts during the period in question. The question for consideration was whether the price of those articles is liable to be included in the 'turnover' of the assessee.;