RAMANUJAM, J.

The subject-matter of dispute in this tax case is a turnover of Rs. 54, 000 in respect of which the assessee, petitioner herein, claimed exemption as second sale of handmade matches. The assessing authority refused exemption on the ground that since the sale by the manufacturer alone had been exempted specifically by a Government Order, the sale by the assessee should be taken as the first taxable sale inside the State and therefore the turnover in question cannot be exempted. The said view of the assessing authority was not accepted by the Appellate Assistant Commissioner on appeal, who held that the fact that the sale by the manufacturer, of handmade matches from whom the assessee had effected purchases had been exempted will not make the assessee's sale as the first sale, and that in view of the fact that there has been an earlier sale inside the State by the manufacturer to the assessee, the assessee's sale will not be the first sale in the State. The said order of the Appellate Assistant Commissioner was questioned by the Revenue by filing an enhancement petition in an appeal filed by the petitioner against the other portions of the assessment order. T