The main legal point established in the judgment is that vehicles brought from abroad are not liable to entry tax under the Kerala Tax on Entry of Goods into Local Areas Act, 1994.

B.M. Thulasidas, J.

These appeals arise from the judgments in O.P. Nos. 3724 of 1997, 1788, 434, 16729 of 1996,2408,5009 of 1997,17875,19209,19885,20112,14183,17299,20061,19893,14950,16151,6151,20249,20344&808 of 1996 respectively. O.P.No. 11739 of 1997 was also filed on the same facts as in the other cases. We admitted W.A. Nos. 770,841,844,975,1022 and 1235 of 1997. Subsequently, by an order dated 22.9.1995 passed by a Division Bench, Chief Justice presiding, W.A. Nos. 770,816,841 and 844 of 1997 were also ordered to be posted along with the other appeal s we admitted in view of the interim orders we passed. The question raised in these appeals is as regards the liability of the appellants to pay entry tax in respect of motor vehicles they had imported from outside the country.

2. The appellants in these appeals and the petitioner in O.P. 11739 of 1997 were non-resident Indians who imported to India motor vehicles they had used abroad. They had obtained customs clearance on payment of customs and levies as due. Some of them had their vehicles registered under the Motor Vehicles Act, but had been given notice of demand of tax under the Act. In a few cases registration had not been given and they have been asked to obtain clearance from the concerned authority that tax due under the Act had been paid. The appellant in W.A. No. 1235 of 1997 is an 'A' class contractor, who purchased a JCB 3 CX Bachoe Loader with necessary equipments manufactured in England, that he took delivery from Pondicherry, wherefore customs and other duties were paid, besides sales tax under the Pondicherry General Sales Tax Act. The appellant in W.A. No. 1466 of 1996 is also a contractor, who had purchased two excavators manufactured abroad from an agent in Pondicherry he brought to Kerala after paying the customs and other duties including sales tax under the Pondicherry Sales Tax Act. The question for decision is common to all these cases, which were heard together.

3. The Kerala Tax on Entry of Goods into Local areas Act, 1994, for short the Act, was enacted to provide for the levy of tax on the entry of goods into local areas for consumption, use or sale therein. Under clause (d) of S.2 "entry of goods into a local area" is defined as entry of goods into a local area from any place outside the State for use or sale therein. Under Cl. (c) "goods" means the goods mentioned in the Schedule to the Act, where 12 items were specified. Cl. (g) defines "importer" as a person who brings any goods into a local area from any place outside the State for consumption, use or sale therein or who owns the goods at the time of its entry into the local area. Under clause 0) "motor vehicle" means a motor vehicle as defined in cl. (28) of S.2 of the Motor Vehicles Act, 1988. Under Cl. (p) "lax" means tax payable under this Act. S.3, which is the charging section states:

"Subject to the provisions of this Act, there shall be levied and collected a tax on the entry of any goods into any local area for consumption, use or sale therein. The tax shall be at such rate or rates as may be fixed by the Government, by notification on the purchase value of the goods but not exceeding the rates specified for the goods in the First Schedule to the General Sales Tax, Act" (Proviso 1,2 and sub-s.(2) are omitted).

"Purchase value" of the goods is defined in clause (n) of S.2 as:

"value of goods, as ascertained from the original invoice and includes insurance, excise duties countervailing duties, sales tax, transport fee, freight charges and all other charges incidently levied on the purchase of the goods and in the case of a motor vehicle includes the value of accessories fitted to the vehicle:

Provided that, where the purchase value of the goods is not ascertainable on account of non-availability or non-production of the original invoice or when the invoice produced is proved to be false or if the goods are acquired or obtained otherwise than by way of purchase, then the purchase