SHAH, J. - The Bombay Sales Tax Tribunal have referred to us under section 34 of the Bombay Sales Tax Act, 1953, the question "whether the respondent-company (Messrs. Sista's Ltd.) is a 'dealer' within the meaning of section 2(c) of the Bombay Sales Tax Act, 1946, and/or of section 2(6) of the Bombay Sales Tax Act, 1953."

We may briefly mention the facts which give rise to this reference. Messrs. Sista's Ltd., whom we will hereafter refer to as "the assessees", are a limited company registered under the Indian Companies Act, having their registered office in Bombay. On 1st December, 1954, the assessees were served with a notice, dated 30th November, 1954, under section 11 of the Bombay Sales Tax Act, 1946, informing them that they were liable to pay tax under the Bombay Sales Tax Act, 1946, for the period between 1st April, 1951, and 31st October, 1952, and that the assessees had failed to apply for registration under section 8 of the Act, and directing them to attend before the Sales Tax Officer, Enforcement Branch, on 15th December, 1954, and to show cause why they should not be assessed to tax and penalty for the said period and to produce on that date all books of accounts for the said period. Another notice was also served upon the assessees under section 14 of the Bombay Sales Tax Act, 1953, in which it was alleged that the assessees were liable to pay tax under the Bombay Sales Tax Act, 1953, for the period between 1st November, 1952, and 31st March, 1954, and that the assessees had failed to apply under that Act for registration or licence. That notice also required to assessees to attend before the Sales Tax Officer, Enforcement Branch, on 15th December, 1954. The assessees appeared before the Sales Tax Officer and applied for adjournment to enable them to make an application to the Collector of Sales Tax to determine the question whether they were "dealers". Thereafter on 21st December, 1954, an application was addressed to the Collector of Sales Tax, Bombay, by the assessees for determination of the questions whether the assessees were "dealers" within the meaning of the term as defined in section 2(c) of the Bombay Sales Tax Act, 1946, or section 2(6) of the Bombay Sales Tax Act, 1953, whether any part of the business carried on by the assessees constituted a sale or supply or purchase of goods under the Acts referred to therein or either of them, whether the assessees were liable to pay tax under the said Acts and whether they were liable to be registered under the Acts or either of them. The assessees in paragraphs 3, 4 and 5 of the application set out their case about the modus of their business. The assessees admitted that they were carrying on business, and stated that the modus of their business was that a contract in the form annexed to the application was obtained from an advertiser who desired to advertise his goods, wares, products or services and by that contract the assessees undertook to secure space in newspapers or magazines or other journals for advertising the advertiser's products and to prepare and release advertisements in the newspapers, journals or magazines and to carry on advertisement companies in respect of the products; that pursuant to the contract the assessees entered into contracts with newspapers on behalf of the advertiser; that the assessees then prepared layouts and designs and also got blocks prepared from block-makers by placing orders on behalf of the advertiser with the block-makers and engraving studios; and that the orders placed with the block-makers and the engraving studios were on the printed form of the assessees showing the names of the advertiser on whose behalf the orders were placed. It was then averred in the application :

"In respect of the preparation of such blocks by the block-makers the petitioners (assessees) render to the block-makers various services and technical assistance including furnishing to the block-makers the finished art-work of design f