The main legal point established in the judgment is the interpretation of Section 8(3)(b) and Rule 13 in determining the eligibility of goods for inclusion in the registration certificate for concessional rate of taxation.

VENKATARAMIAH, J.

( 1 ) THESE two revision petitions arise out of an application made by M/s. The Ballarpur Straw board Mills Ltd. , Karwar, (hereinafter referred to as the assessee), under section 7 of the Central sales Tax Act, 1956 (hereinafter referred to as the Act), for inclusion of certain items of goods in its registration certificate for the year 1971-72 for the purpose of obtaining C forms. The assessee had commenced the construction of a factory for manufacturing caustic soda and liquid chlorine at Karwar in or about the year 1971-72. For the purpose of erecting the said factory and manufacturing the chemicals referred to above, it required certain items of goods which had to be purchased from outside the State. It, therefore, requested the Commercial Tax Officer to include those items in the registration certificate to enable it to have the benefit of the concessional rate of taxation under the Act. He however rejected the prayer of the assessee in respect of the following eight items :

(1) Timber of all kinds. (2) Drawing office equipments and instruments. (3) Weighing machines and bridges. (4) Laboratory instruments and apparatus. (5) Paints, varnishes and pastes of all kinds. (6) Packing of all kinds (steam lubricating, graphite, asbestos packings ). (7) Firebricks, fire cement, cement compound, china-clay and all types of building materials. (8) Glazed tiles.

Aggrieved by the order of the Commercial Tax Officer, the assessee filed an appeal before the deputy Commissioner of Commercial Taxes. He allowed the prayer in regard to only three items, namely, (1) Laboratory instruments and apparatus; (2) Weighing machines and bridges; and (3) Packings of all kinds. On further appeal to the Karnataka Sales Tax Appellate Tribunal, the Tribunal further modified the order of the Commercial Tax Officer by directing inclusion of firebricks, fire cement, cement compound and china-clay for the purpose of putting up boilers and timber for the purpose of manufacturing racks. It rejected the other claims. Aggrieved by the order of the Tribunal, the assessee has filed S. T. R. P. No. 6 of 1976 and the department has filed s. T. R. P. No. 9 of 1976.

( 2 ) IT is contended by Sri S. P. Bhat, learned counsel for the assessee, that the Tribunal was in error in not allowing the inclusion of the following five items for the purposes specified against each of them in the registration certificate :

"1. Timber of all kinds.- To be used as a perforatory structure in salt saturation; as a special design working platform in-between the electrolytic cells and as special cover for various tanks; in the construction of hopers for treating various materials for water-cooling plants; to be used in the buildings within the precincts of the factory. 2. Drawing office equipments and instruments.- Designing and drawing office equipment is necessary for fabrication, remodelling of machines; to manufacture spare parts, etc. 3. Paints and varnishes.- To be used for various machines and plants; factory buildings and in places wherever they are required within the precincts of the factory. 4. Firebricks, fire cement, china-clay, etc.- To be used in the factory in the construction of factory buildings and other buildings within the precincts of the factory; as lining materials in the various equipments and plants in the factory. 5. Glazed tiles.- To be used as lining materials in the factory. "

( 3 ) AN application for registration has to be made by a dealer under section 7 of the Act. In order to claim the benefit of the concessional rate of tax, he has to apply for the inclusion of the goods which he requires for the purposes mentioned in section 8 (3) (b) read with rule 13 of the Central sales Tax (Registration and Turnover) Rules (hereinafter referred to as the Rules) when the goods in question have to be purchased in the course of inter-State trade or commerce. The relevant part of section 8 of the Act during the year 1971-72 read as follows :

"8. Rates

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