SESHASAYEE PAPER AND BOARDS LIMITED Vs. STATE OF KERALA
LAWS(KER)-2003-7-26
HIGH COURT OF KERALA
Decided on July 14,2003

SESHASAYEE PAPER AND BOARDS LIMITED Appellant
VERSUS
STATE OF KERALA Respondents

JUDGEMENT

- (1.) IS S.3(c) of the Kerala General Sales Tax (Amendment) Act, 2002, by which the rate of tax on the sale of paper has been raised from 4% to 8% with effect from December 31, 2001 unconstitutional? This is the short question that arises for consideration in this bunch of ten appeals and one Writ Petition. The learned single Judge having dismissed the petitions, the Writ Petitioners have filed these appeals. The Writ Petition viz., O.P. No. 7973 of 2003 has been posted along with the appeals under an order passed by the learned Single Judge.
(2.) LEARNED counsel for the parties have referred to the facts in W.A. No. 178 of 2003. These may be briefly noticed. The appellant is a Public Limited Company. It is engaged in the manufacture of Paper and Paperboards. It has its registered office at Pallipalayam, P.O. Erode, in the State of Tamil Nadu. It is registered as a Dealer under the Kerala General Sales Tax Act, 1963.
(3.) ON December 31, 2001, the Kerala General Sales Tax (Amendment) Ordinance 2001 (Ordinance No. 37 of 2001) was published in the Government Gazette. It was declared that during the period of operation of the Ordinance, the Act shall have effect subject to the amendments specified in Ss. 3 and 4. The relevant provision is contained in S.3(c) by which the rate of tax on the sale of paper was raised from 4% to 8%. It was followed by Ordinance No. 4 of 2002, viz., The Kerala General Sales Tax Act (Second Amendment) Ordinance, 2002. It was published in the Gazette on April 11, 2002. In the preamble it was inter alia mentioned that a Bill to replace Ordinance No. 37 of 2001 by an Act of the State Legislature could not be introduced in, and passed by the Legislative Assembly of the State of Kerala, during its session which commenced on the 1st day of March 2002 and ended on the 15th day of March 2002. Thus the second Ordinance was promulgated. On July 9, 2002, Act No. 4 of 2002 was published in the Gazette. It was to be deemed to have come into force on the 31st day of December 2001. Copies of the Ordinances and the Act have been produced as Exts. P1 to P3.;


Click here to view full judgement.
Copyright © Regent Computronics Pvt.Ltd.