ARUN TANDON, J. - Heard learned counsel for the parties.

Revisionist, M/s. Mahalaxmi Gramodyog Sansthan, Behat Road, Saharanpur has filed this trade tax revision challenging the order of the Trade Tax Tribunal, Saharanpur Bench, Saharanpur dated January 31, 2006 whereby the second appeal filed by the Trade Tax Department has been allowed and the order of the first appellate authority dated September 21, 2000 has been set aside.

The facts giving rise to the present trade tax revision are that the assessee is a society registered with U.P. Khadi Gramodyog Board and is engaged in the business of sale of spices after grinding the whole spices.

For the assessment year 1997-98, the total turnover as disclosed from the sale effected by the assessee was Rs. 74,16,997.25. According to the assessee, the said turnover in respect of two categories of goods sold by the assessee. The first category of goods was manufactured after purchasing the whole spices (ungrinded spices), i.e., Khada mashala after payment of tax from dealers situate within the State of Uttar Pradesh. Such sales are not liable to any tax under the State of Uttar Pradesh in view of section 3 of the U.P. Trade Tax Act