- (1.) THIS is an application under Article 226 of the Constitution, for an appropriate writ for cancellation of the demands made by the respondents Nos. 1 and 2 under Notification dated the 8th November, 1950, asking for a sum of Rs. 9,401-10-6 to be paid by the petitioner and for direction on the said respondents to forbear from giving effect to that Notification.
(2.) THE facts are that by a contract entered into with the Government of India, Ministry of Industry and Supply, dated 1st September, 1948, the petitioner agreed to supply some hessian cloth to the Government of India. The contract provided inter alia that the prices shown in the contract were exclusive of the Bengal sales tax and the Government of India would arrange direct payment of sales tax to the Government of West Bengal if it is found ultimately that sales tax is payable in respect of the said contract. Pursuant to the said contract, the petitioner supplied goods to the Government of India and charged the Government of India the prices payable in respect of such supplies which were exclusive of the sales tax. The petitioner also entered into two other similar contracts with the Government of India for sale of hessian goods and supplied goods under the said contracts.
(3.) THE Commercial Tax Officer came to the conclusion that the petitioner was liable to pay sales tax in respect of the said contracts and he purported to demand sales tax from the petitioner, and if appears that by a Notification No. 6767 dated 8th November, 1950, the Commercial Tax Officer made a demand from the petitioner of a sum of Rs. 9,401-10-6 as sales tax in respect of the goods supplied. The petitioner challenges this demand of the Commercial Tax Officer as illegal. In the circumstances he has moved this court for the reliefs stated above.;