TIRATH S. THAKUR, J.

( 1 ) A Division Bench of this Court in KEC International Limited v. State of Karnataka [1997] 105 stc 192 examined the constitutional validity of section 19a of the Karnataka Sales Tax Act, 1957, which made a provision for deduction at source from amounts payable to a dealer in respect of works contracts of the nature specified in the Sixth Schedule to the Act. The challenge was mainly based on the plea that section 19a, authorised deduction of tax on the total amount of works contract without making any provision for deduction of the value of certain components of such contracts which were not otherwise exigible to tax. Relying upon the decision of the Supreme Court in Gannon Dunkerley and Co. v. State of Rajasthan 1992 (3 )SCALE173 , (1993 )1 SCC364 , [1992 ] supp3 SCR103 , [1993 ]88 STC204 (SC ), this Court held that the entire amount payable under a works contract was not exigible to Central or State sales tax and that the taxable amount has to be calculated out of the total amount on the principles stated by their Lordships in the aforementioned judgment. It was held that section 19a made a provision for deduction of tax at certain percentages on the tot

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