- (1.) For reasons set out by me in State of Mysore v. Y. L. Setty and Sons, I am of the view that the appeal must be allowed. Sikri, J.-This is an appeal by special leave by the State of Mysore against the judgment of the Mysore High court, accepting the Civil Revision Petition filed by the respondent, M/s. Mysore Silk House, hereinafter referred to as the assessee, and setting aside the levy imposed on the petitioner under the central Sales Tax Act (74 of 1956). The assessee is a dealer in powerloom cloth. Under the Mysore Sales Tax Act, 1957, the disputed transactions were not subject to any tax, they being second sales. The Sales Tax * Authorities came to the conclusion that a portion of the turnover, i. e. , Rs. 34,839.77 was liable to be taxed under section 8 (2) and Rs. 86,577.49 was liable to be taxed under section 8 (1). The High court, following its decision in Civil Revision Petition 964 of 1961, the appeal from which to this court we have just disposed of in the State of Mysore v. Y. L. Setty and Sons held that the turnover of Rs. 34,839.77 was not taxable.
(2.) The learned counsel for the appellant has only pressed this point. Following our judgment in State of Mysore v. Y. L. Setty and Sons, we dismiss the appeal with costs. By the court In accordance with the opinion of the majority. Civil Appeal No. 620 of 1964 is allowed with costs in this court and the High court. Civil Appeals Nos. 818 and 819 of 1963 are dismissed with costs.;