M.R.Sharma, J.

1. The evergreen contest between the revenue and the assessees under the East Punjab General Sales Tax Act, 1948 (hereinafter called the Act), has lent an aura of complexity to the issues involved therein. But this aura soon fades away if we approach the problem in the background of the historical development Of this branch of law.

2. There are in all ten writ petitions and two general sales tax references which have been placed for decision before this Full Bench pursuant to an order of reference passed by the Division Bench on 11th January, 1979, in C.W. No. 3297 of 1978.

3. In Civil Writ Petitions Nos. 5944, 6465 and 6760 of 1976, the petitioners purchase raw cotton, gin it and crush the oil-seeds into oil which in turn is sent for sale out of the State of Punjab on consignment basis. The petitioner in C.W. No. 169 of 1977 is a partnership concern which is engaged in the business of crushing oil from oil-seeds and the manufacture of oilcakes. The finished products are sold in the State of Punjab and also sent out of this State for sale on consignment basis. The petitioners in C.W. Nos. 1941 and 3297 of 1978 and C.W. Nos. 304, 1374 and 1376 of 1979 purchase pig-iron, manufacture agricultural implements and other steel articles out of it which are in turn partly sent for sale out of the State of Punjab on consignment basis. The petitioners in General Sales Tax References Nos. 14 and 15 of 1977 also purchase pig-iron and use it for the manufacture of articles of steel which in turn are partly sent for sale outside the State of Punjab on consignment basis. The following question of Jaw has been referred to us for opinion:

Whether Section 4-B of the Punjab General Sales Tax Act, 1948, is ultra vires Section 15 of the Central Sales Tax Act, 1956, and of Section 5(3) of the Punjab General Sales Tax Act, 1948?

4. For the sake of clarity, this general question has been split into the following three questions:

(1) Whether Section 4-B of the Act is applicable to declared goods?

(2) Whether Section 5(3) of the Act excludes the applicability of Section 4-B or any other provision of the Act (in case of declared goods) as Section 5(3) starts with the non obstante clause starting with "notwithstanding"?

(3) Whether Section 4-B is ultra vires Article 286 of the Constitution of India and contravenes Section 15 of the Central Sales Tax Act, 1956?

5. Cotton, ginned or unginned, oil-seeds and pig-iron are declared goods. The substance of the arguments raised in all these petitions is that Section 5(3) of the Act is the charging section in respect of these items and since this section begins with a non obstante clause, the revenue cannot impose sales tax on the declared goods consumed for the manufacture of finished articles by treating Section 4 of the Act as the charging section. The further argument raised is that since the case does not squarely fall within the letter and spirit of Section 5(3) of the Act, it is not open to the revenue to impose any sales tax on the raw materials consumed for the manufacture of finished articles.

6. In order to come to grips with the issues involved, it becomes necessary to make a brief survey of the statutory provisions.

7. The Act was originally brought on the statute book on 15th November, 1948. It contained the usual provisions of a taxing statute, namely, the charging section, the procedure for determining the liability and the realisation of the tax dues. Section 2 of the Act was the definition clause defining Assessing Authority, dealer, sale and turnover, etc., Section 4 was the charging section contemplating a levy of sales tax at the rate of 2 per cent to begin with. Section 5 lays down the procedure for computation of tax. Sub-section (2) of this section denned the expression "taxable turnover" on the basis of which the liability of a dealer to pay tax was determined. Section 6 dealt with the tax-free goods mentioned in Schedule B. Section 7 of the Act contemplated registra