GULATI, J. - (1.) AT the instance of the Commissioner of Sales Tax, U.P., Lucknow, the Additional Revising Authority, Sales Tax, Varanasi, has submitted this statement of the case under section 11(3) of the U.P. Sales Tax Act. The statement of the case is a consolidated one relating to two assessment years, viz., 1962-63 and 1963-64 and a common question of law has been referred. The question is in Hindi. When translated in English it reads as under : "Are dori and fita included in the definition of the word 'laces' as held by the Additional Judge (Revisions), Varanasi ? Are dori and fita covered by the Notification No. S.T. 4064/X-960(4)-58 dated 25th November, 1958, and exempt from tax ?"
(2.) THE assessee carried on the business of manufacture and sale of elastic dori and fita. The assessee claimed exemption from tax in respect of the turnover of these two articles relying upon the Notification No. S.T. 4064/X-960(4)-58 dated 25th November, 1958, which is a notification under section 4 of the Act and enumerates articles which are exempt from tax. This plea of the assessee was rejected by the assessing authority, who taxed the turnover in dispute at the rate of 2 per cent. The assessee's appeal also failed, but the contention of the assessee prevailed with the Revising Authority, who held that the elastic dori and fita were laces and were covered by the notification in question. The Commissioner of Sales Tax is aggrieved and has caused this reference to be brought before us. The notification exempts certain categories of goods. Category 3 reads as under : "Textiles of the following varieties manufactured on powerlooms, excluding durries, carpets, hosiery goods and ready-made garments, but including the goods specified in the Annexure hereunder : (a) Cotton fabrics of all varieties. (b) .................. (c) .................. (d) .................. (e) .................. ANNEXURE. (i) .................. (ii) ................. (iii) Tapes, niwars and laces. (iv) ...................."
(3.) IT is not disputed that elastic dori and fita are made of cotton. The Judge (Revisions) has held these two articles to be varieties of laces. However, it is immaterial whether these articles can be called as "tapes or laces", because both are covered by the notification and are exempt from tax. According to the Shorter Oxford English Dictionary, the word "tape" means "a narrow woven strip of stout linen, cotton, silk etc., used as a string for tying garments, as binding, as measuring lines, etc." In the Webster's New International Dictionary, one of the meanings assigned to the word "lace" is "a cord, band, or line; now specif. a string, cord, or band, passing through eyelet or other holes and used in drawing and holding together parts of a garment, of a shoe, of a machine belt, etc." "Fita" can, no doubt, be regarded as a tape. In fact "fita" appears to be a translation of the word "tape". So far as "dori" is concerned, it can very well be considered to be a "lace", because according to the Webster's dictionary, a lace may be a piece of cord or a band. In the instant case the only difference between a fita and a dori appears to be that one is a band and the other is a cord. We are, therefore, of opinion that "fita" can be classed as "tape", while "dori" as "lace".;