Judgment

J. C. SHAH

( 1 ) THE Orient Paper Mills Ltd. , - hereinafter called the assessees- are a public limited company having their registered office at Brajrajnagar in the district of Sambalpur, Orissa State. The assessees are manufacturers of paper and paper-boards and are registered as dealers under the Orissa Sales Tax Act, 1947-hereinafter referred to as the Act. The assessees used to collect tax from the purchasers on all sales effect by them including sales to dealers in other States. For the quarters ending 31/03/19 5/06/19 5/09/19 5/12/1950 and 31/03/1951, the assessees paid Sales-tax which they were assessed by the Assistant Collector of Sales-tax to pay, on their turnover which included sales outside the State of Orissa.

( 2 ) AFTER this court delivered the judgment in State of Bombay v. United Motors (India) Ltd. , 1953 SCR 1069 the assessees applied for refund under S. 14 of the Act of tax paid in respect of goods despatched for consumption outside the State of Orissa contending that according to the law expounded by this court, the transactions of sales outside the state were not taxable under the Act because of the prohibition imposed by Art. 286 (1) (a) of the Const