SEN, J. - (1.) THE Judgment of the court was delivered by
(2.) THE appellant, M/s Anand Commercial Agencies, is a partnership firm. It is regularly assessed under the A. P. General Sales Tax Act. THE dispute in this case arose in the course of assessment for the Assessment Year 1977-78. Under Entry 24(b) of the First Schedule to the Act, tax is payable on groundnut oil at the rate of 2 1/2 paise per rupee of the sale price. Under Entry 24(a), tax is payable on groundnut oil or refined oil obtained from groundnut which has not borne any tax under the A.P. Act at the rate of 61/2 paise per rupee of the sale price. THE assessee at the relevant period had a total turnover of Rs 31,35,000.00 out of which Rs 14,76,000.00 was on account of sale of groundnut oil and refined oil obtained from groundnut which had not borne tax under the A.P. Act because the oil was imported into A. P. from the State of Karnataka. The case of the appellant is that the oil had been extracted out of groundnuts which had borne tax under the Karnataka Sales Tax Act. The levy of tax on the oil imported from Karnataka into A. P. at a rate higher than the rate at which the oil manufactured in A. P. is taxed is discriminatory and violative of the appellant's right to freedom of trade and commerce throughout India. This contention of the assessee was rejected by the Sales Tax Officer and also by the Assistant Commissioner (CT), Appeals, Secunderabad.
(3.) THE assessee thereafter challenged the decision of the Assistant Commissioner by filing a writ petition in the A. P. High court challenging the constitutional validity of the levy. THEre was a difference of opinion between the two Judges who heard the matter. THE case was referred to a third Judge who was of the view that the writ petition was without any merit and should be dismissed. The assessee has appealed to this court. 104;