Report No. 61

10.3. Select Committee's observations.-

The Select Committee1 on the Bill of 1971 made the following observations which explain the above2 amendment.

"(i) Sub-clause (a)-This sub-clause seeks to exclude with retrospective effect, charcoal from the definition of "coal" contained in clause (i) of section 14 of the Principal Act. The Committee feel that the retrospective effect to the amendment through this Sub-clause excluding charcoal from the scope of the term "coal", should not affect the position during the intervening period from the 23rd February, 1967 (the date of the Supreme Court judgment in Jaswant Singh Charan Singh's case) and the coming into force of the amendment. It should be ensured that the Supreme Court judgment would prevail during the aforesaid period and "charcoal" will be treated as declared goods, and no dealer would be required to pay tax on "charcoal" at a rate exceeding the one applicable to "coal" in the appropriate State. The sub-clause has been amended accordingly."

1. Report of the Select Committee on the Central Sales T4x (Amendment) Bill, 1971 (17th August, 1972), p. viii.

2. Para. 10.2, supra.