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case studies
Otis Elevator Company (India) ... vs The State Of Maharashtra on 22 January, 1968
Equivalent citations: 1969 24 STC 525 Bom
Author: Abhyankar
Bench: N Abhyankar, Vimadalal

JUDGMENT

Abhyankar, J.

1. This is a reference at the instance of the applicants referring certain questions to the High Court for decision.

2. An appeal was filed before the Tribunal against the order passed by the Deputy Commissioner of Sales Tax, Bombay City Division (Adm.) I, Bombay, determining a disputed question, under section 27 of the Bombay Sales Tax Act, 1953. The applicants applied to the Commissioner of Sales Tax by their application dated 30th May, 1962, that in response to the letter dated 7th April, 1958, by Messrs T. Manek & Co., they had addressed a letter to that company on 18th April, 1958, submitting their quotations for supply and installation of two passenger lifts, one at Block No. 9, Colaba Causeway, Bombay, and the other at Block No. 10, Colaba Causeway, Bombay. Subsequently, a contract was arrived at between the parties on 10th June, 1958, for supply and installation of the said two lifts. The letter stated that the contract was for furnishing and erecting the elevator installation outlined in the specification for the price of Rs. 57,000. The application stated that the applicants duly erected and installed the said two lifts in accordance with the terms of the contract and the lifts were handed over to the customer. The question posed for determination was whether sales tax was payable by the applicants in respect of the said contract. It was contended on their behalf that it was an entire and indivisible contract for the erection and installation of two lifts, and that the materials furnished were only in execution of the works contract and there was no sale of any goods and materials by the applicants. In case the determination was that it was not an entire and indivisible contract but constituted two separate contracts, one for the sale of

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