Civil Appeal No. 1072 of 2008 · Supreme Court of India

the tax under Section 5(1-A) of the Punjab General Sales A Tax Act, 1948. The 1948 Act refers to single point levy of tax on the first sale. The Notification No. SO 38/P.A. 46/48 S-5/90 dated 25. 7 .1990 specifically incorporates the provisions of Rule 9 of Punjab General Sales Tax (Deferment and Exemption) Rules, 1991 whereby B exemption is only qua payability and not in respect of assessment. Under the scheme of the 1948 Act, the calculated tax gets appropriated towards the scheme entitlement. Taking this linkage into account, the words "subjected to tax" cannot be equated to the words "having c suffered tax. " [Paras 13 and 14] [588-D, F, G, H; 589-B, C]

1.2 Since Rule 29(xii) refers to the purchase value of the goods which stood subjected to tax it becomes clear that under the scheme of 1948 Act even the eligible unit has to be assessed to tax. In the present case, the Court D is concerned with Section 5(1-A) of 1948 Act which, refers to the stage at which the tax has to be levied, namely, first stage of sale. Rule 29(xii) does not say the goods should have suffered tax or the tax should have been paid or that the goods had been subjected to tax under Section 4 or under the said Act. [Paras 14 and 16] [589-F; 592-F, G; 593-A] E