AJIT KUMAR SEN GUPTA,J. - (1.) THE petitioner, Indian Explosives Limited, obtained a registration certificate on 1st July, 1960, under the Bihar Sales Tax Act and Rules thereunder from the sales tax authority of Bihar. The said registration certificate was renewed up to 31st May, 1978.
(2.) ON 13th May, 1968, the petitioner entered into an agreement with M/s. Card Board Products (Gomia) whereby the latter firm supplied and sold to the petitioner the packing material viz. , fibre board, cartons, boxes, etc. , in accordance with the specification mentioned therein in the agreement. The said agreement was renewed on 30th January, 1974. On 18th March, 1975, the petitioner received from the respondent No. 1, Assistant Commissioner of Commercial Taxes, a letter whereby the petitioner was asked to show cause why the paper carton, purchased on the strength of the concession given in column 13 of the registration certificate, be not deleted from the registration certificate. The petitioner by a letter dated 28th April, 1975, disputed the said allegations made by the respondent No. 1. By a letter dated 9th March, 1976, to the Secretary, Bihar Chamber of Commerce, the Deputy Commissioner of Commercial Taxes, Bihar, represented, inter alia, that if the registration certificate of any dealer incorporated that the dealer utilises the cardboard boxes purchased for the purpose of packing, then in that situation such cardboard boxes sold to such dealer would be free of special sales tax under the said Act. On 8th July, 1976, the Tribunal passed the order in the case of M/s. Card Board Products (Gomia ).
(3.) THE Tribunal in that case did not accept the contention of the Deputy Commissioner contained in the said letter. The Tribunal held that carton means a box made from thin paste board and therefore covers cardboard boxes.;