Skip to content


Shaw Leiner Limited and anr. Vs. Sales Tax Officer and ors. - Court Judgment

LegalCrystal Citation
SubjectSales Tax
CourtMadhya Pradesh High Court
Decided On
Case NumberMiscellaneous Petition No. 181 of 1980
Judge
Reported in[1982]51STC169(MP)
AppellantShaw Leiner Limited and anr.
RespondentSales Tax Officer and ors.
Appellant AdvocateK.P. Munshi, Adv.
Respondent AdvocateM.V. Tamaskar, Government Adv.
DispositionPetition dismissed
Cases ReferredIn Ratlam Bone & Fertilizer Co. v. State of M. P.
Excerpt:
.....is therefore liable to be convicted under section 324 of i.p.c., sentence of 3 years imprisonment reduced to period undergone by appellant considering mental agony suffered by him - according to this dictionary, sinew is 'a strong fibrous cord serving to connect a muscle with a bone or other a tendon'.the description of bone sinews in the report of the marketing of bones and bone-meal in india referred to above, as also the definition contained in the aforesaid two dictionaries goes to show that bone sinews are different from bone powder. tendons are known to the layman as 'sinews' or 'leaders';they consist of white fibrous tissue and are usually cord-or band-like in appearance......of rs. 9,282 as sales tax.2. the order of assessment which was passed on 2nd may, 1974, treated bone sinews, crushed bones, bone grists and bone-meal as powdered bones falling within entry no. 9 in part i of schedule ii to the act. the sales of these commodies were taxed at 2 per cent. in the reassessment proceedings, it was held that bone sinews do not fall within the description of powdered bones under entry no. 9 in part i of schedule ii and that sales of bone sinews have to be taxed under the residuary entry at the rate of 7 per cent.3. entry no. 9 in part i of schedule ii reads as follows :bones of animals including powdered bones, horns and hoofs.4. the question before us in this petition is whether bone sinews fall within this entry. according to the learned counsel for the.....
Judgment:
ORDER

G.P. Singh, C.J.

1. By this petition under Article 226 of Constitution, the petitioners seek quashing of the order of assessment dated 27th February, 1978, passed by the Sales Tax Officer, Circle I, Jabalpur, for the period from 1st January, 1969, to 31st December, 1969, under Section 19(1) of the M. P. General Sales Tax Act, 1958. The petitioners also challenge the order dated 7th December, 1979, passed by the Deputy Commissioner in revision upholding the order of assessment and the demand notice issued for recoSectionery of Rs. 9,282 as sales tax.

2. The order of assessment which was passed on 2nd May, 1974, treated bone sinews, crushed bones, bone grists and bone-meal as powdered bones falling within entry No. 9 in Part I of Schedule II to the Act. The sales of these commodies were taxed at 2 per cent. In the reassessment proceedings, it was held that bone sinews do not fall within the description of powdered bones under entry No. 9 in Part I of Schedule II and that sales of bone sinews have to be taxed under the residuary entry at the rate of 7 per cent.

3. Entry No. 9 in Part I of Schedule II reads as follows :

Bones of animals including powdered bones, horns and hoofs.

4. The question before us in this petition is whether bone sinews fall within this entry. According to the learned counsel for the petitioners, bone sinews are not different from powdered bones whereas according to the learned Government Advocate bone sinews are not powdered bones and are outside the

5. In Ratlam Bone & Fertilizer Co. v. State of M. P. [1975] 35 STC 132 (FB) a Full Bench of this Court made reference to the report of the marketing of bones and bone meal in India issued by the Directorate of Marketing and Inspection, Ministry of Food and Agriculture, Government of India. It was observed that this report shows that four commercial products are obtained by crushing bones in bone crushing mills. These products are : (1) bone sinews, (2). crushed bones, (3) bone grists and (4) bone-meal. The description of these products as given in this report is as follows:

Bone sinews.-These are the fibrous and tendinous portions adhering to bones. These are obtained as by-products from the bone crushing mills and contain a high percentage of nitrogen and phosphates. The glue-making industry in India uses only a small proportion of the sinews produced, the rest being exported. Bone sinews are also being used as fertilizer for paddy fields in South India and when needed for this purpose the sinews are further powdered by re-crushing.

Crushed bones.-These are small pieces of bones less than 2 inches in length but not smaller than 3/16th inch. Crushed bones are mainly exported and find a ready market abroad for use as raw material in the manufacture of glue and gelatine. These industries are not developed to any appreciable extent in India. According to the trade there are no factories in India that produce bone glue of proper quality. In India generally glue is manufactured on cottage industry scale from hide fleshings and trimmings and bone sinews.

Bone grists.-These are crushed bones of a smaller size, i. e., less than 3/16 inch but more than 3/32 inch. Bone grist is mostly exported and the principal importing country is Ceylon where it is used as a fertilizer. A very small quantity of grist is put to use in India by engineering firms for case hardening of steel.

Bone-meal. -This is obtained as a powder on crushing of bones and can pass through 3/32 inch mesh. There are some mills particularly those situated in South India that crush all bones into bone-meal by re-crushing the crushed bones and grists. Bone-meal finds use only to the country as export of it is totally banned. It is used as a fertilizer both by itself and also in fertilizer mixtures.

6. The description of bone sinews quoted above will go to show that these are fibrous and tendinous portions adhering to bones and are obtained as byproducts from the bone crushing mills. They are mainly used by the glue-making industry in India and abroad. Bone sinews are also used as fertilizer for paddy fields in South India. In Webster's New Twentieth Century Dictionary 'sinew' is defined to mean 'a tendon, the tough fibrous tissue which unites a muscle to a bone'. A similar definition of the word 'sinew' is given in Shorter Oxford English Dictionary, Vol. II. According to this dictionary, sinew is 'a strong fibrous cord serving to connect a muscle with a bone or other a tendon'. The description of bone sinews in the report of the marketing of bones and bone-meal in India referred to above, as also the definition contained in the aforesaid two dictionaries goes to show that bone sinews are different from bone powder.

7. A sample of bone sinews was produced before us by the learned counsel for the petitioners. It did contain some pieces of bone but substantially it contained fibrous material which cannot be described as bone.

8. The learned counsel for the petitioners referred to us the following extracts from Gray's Anatomy, 32nd edition :

Most muscles are provided with tendons at one or both extremities. Tendons are known to the layman as 'sinews' or 'leaders'; they consist of white fibrous tissue and are usually cord-or band-like in appearance.

The tendons are tough, whitish cords, varying in length and thickness and devoid of elasticity. They consist of numerous parallel fascicles of collagen fibres and their parent cells, surrounded by fibro-arsolar tissue which binds them all together and constitutes the interfascicular tissue. Where the tendon leaves the muscle, its interfascicular tissue is continuous with the perimysium of a group of muscle fibres and the sarcolemmal sheaths of the fibres are continued as collagen bundles. Where the tendon reaches its attachment to bone, the interfascicular tissue blends with the periosteum, but the collagenous fibres pass through the cortical bone as the perforating fibres of sharpey.

We have carefully perused the above extracts from Gray's Anatomy. We are unable to accept the submission of the learned counsel for the petitioners that these extracts support his contention that bone sinews are not different from bone and fall within the description of bone powder.

9. For the reasons given above, we are of opinion that the Sales Tax Officer and the Deputy Commissioner of Sales Tax were right in holding that bone sinews did not fall within entry No. 9 of Part I of Schedule II.

10. The petition fails and is dismissed but without any order as to costs. Security amount be refunded to the petitioners.


Save Judgments// Add Notes // Store Search Result sets // Organizer Client Files //