Whether respondent No. 3 is entitled to deduct trade tax under section 8-D (1) of the U. P. Trade Tax Act (for Short, "the Act") from the running bill of the petitioner who carried on the works of painting and colouring under a works contract dated January 24, 1995 is the question for consideration in this petition.

Briefly, sub-section (1) of section 8-D of the Act states that every person responsible for making payment to any contractor for discharge of any liability on account of valuable consideration payable for transfer of property in goods in pursuance of works contract, shall at the time of making such payment to the contractor, deduct an amount equal to four per centum of such sum towards part or full satisfaction of the tax payable under this Act on account of such works contract.

By Notification No. ST-2-2399/x-9 (195)/85 - U. P. Act-XV-48 - Order-87, dated April 27, 1987, fifteen types of works contracts have been specified. Type No. 6 of works contract as specified in the notification dated April 27, 1987, is relevant for the purposes of this case and that is reproduced below :

" (6) Civil works like construction of buildings, bridges, roads, dams, ba