The Judgment of the Court was delivered by

SMT. SUJATA V. MANOHAR, J. - In this reference the following question has been referred to us for determination :

"Whether on the facts and in the circumstances of the case, the Tribunal was correct in law in holding that the agreement dated 20th May, 1959, between M/s. Walchandnagar Industries Ltd., the respondent, and M/s. Krishna Sahakari Sakhar Karkhana Ltd., was an indivisible works contract, and not a composite one, divisible into one for sale of machinery and another for rendering some service ?"

2. M/s. Walchandnagar Industries Ltd., who are the respondents in this reference are dealers registered under the Bombay Sales Tax Act, 1959. They entered into two contracts with M/s. Krishna Sahakari Sakhar Karkhana Ltd., under which they agreed to supply and erect a sugar plant for the said Karkhana. These contracts are dated 20th May, 1959, and 13th May, 1960. For the period 1st January, 1960, to 30th September, 1960, the respondents were assessed by the Sales Tax Officer, Poona City III Division, on 27th July, 1976. Being aggrieved by the assessment order they filed an appeal to the Assistant Commissioner of Sales Tax, Poona. I