vil Appeal No 1387 of 1973
From the Judgment and Order dated 3151973 of the Calcutta High Court in Appeal from Original Order No 612 of 1971
WITH CIVIL APPEAL NO 4301 of 1984
From the Judgment and Order dated 99
1981 of the Calcutta High Court in Appeal from Original Order FMA No 459 of 1980
Govind Das and Mr GS Chatterjee for the Appellants
DN Mukherjee for the Respondents in CA No 1387 of 1973
AK Ganguli and Miss Mridula Ray for the Respondent in CA No 4301 of 1984
The Judgment of the Court was delivered by BC RAY J
Civil appeal No 138773
This appeal by special leave is against the judgment and order passed in appeal from Original Order No612 of 1971 dated May 31 1973 by the Division Bench of the High Court of Calcutta affirming the judgment and order of the learned Single Judge made in Civil Revision Case No 5805 of 1970
The respond ents who are licensed dealers under the West Bengal Edible Oil Seed Dealers Licensing Order 1963 have challenged the imposition of entry tax on groundnuts imported into Calcutta Metropolitan Area for the purpose of manufac ture of groundnut oil under the provisions of the Taxes on Entry of Goods into Calcutta Metropolitan Area Act 1970 on the ground that such importation of groundnuts as oil seeds is not subject to any levy under the provisions of the said Entry Tax Act in as much as there is no specific provision for levy on ground nuts as oil seeds for manufacturing edible 624 oil
They have therefore prayed for a mandate directing the appellants not to impose any entry tax on the ground that they are edible nuts failing under specific entry of edibles provides in the Schedule to the said Act
There was also a prayer or refund of the taxes already imposed and collected by the respond ents
The learned single Judge who issued the rule after hearing both the parties held that though under SI
No 4 item No t of the Schedule to the said Act nuts  was a speci fied item for purposes of imposition of entry tax as shown in corresponding column No 3 in the said Schedule yet the learned Judge held that since groundnut is oil seed for manufac turing edible oil which is not subject to entry tax the groundnut imported for the purpose of extracting oil as oil seed by the dealers was not subject to the imposition of entry tax
It was further held that the term groundnut might answer the description of being nuts used as edibles as also oil seeds for edible oils
The legislature intended to impose levy on nuts  imported as edibles and not to cover such nuts imported as oil seeds for edible oils
The rule was made absolute with costs and a writ of mandamus was issued directing the appellants herein not to impose any levy under the provisions of the said Act
There was also a further mandate upon the appellants herein directing them to refund all taxes realised under the said Act on groundnut imported by the petitioners respondents herein into Calcutta Metropolitan Area
Against this judgment and order the appel lant State of West Bengal preferred an appeal
This appeal was dismissed and the judgment and order of the learned single Judge was af firmed
It was held that the intention of the legislature was that edible oil or oil seeds would not be liable to tax
The Court refer ring to the decision in Avadh Sugar Mills Ltd vs Sales Tax Officer  Anr 1973 Vol 31 STC 469 SC held that in commercial circle groundnut  was treated as oil seed  for manufacture of oil
It did not refer to nuts  as such and as such groundnut did not fail with the ambit of entry tax as provided in the said Entry Tax Act
Against this judgment and order the instant appeal on special leave was filed
The sole question that poses itself for consideration in this appeal is whether groundnuts falling within the description of nuts  in Schedule in Class l item No 4t is liable to be taxed under the Taxes on Entry of Goods into Calcutta Metropolitan Area Act 1970 in case the purpose of importer is to extract oil therefrom
It has been urged on behalf of the respondents that oil seeds or edible oils are not 625 specified items for the purpose of imposition of entry tax under section 61 of the said Act
The importation into Calcutta Metropoli tan Area of groundnuts by the respondents for the purpose of manufacturing groundnut oil is exempt from the levy of entry tax according to them
It is necessary to quote here the rele vant provisions of the Schedule for the pur pose of determining this question          
Serial No Specified goods Rates of tax 1 2 3          
X X X X Class I Articles of food and drink 4
Edibles X X X X t nuts excluding betal nuts 6 per cent ad valorem u oilman stores except  12 per cent ad valorem edible oils for dry fruits do x x x x x Class III
Articles for industrial use and articles used for fuel lighting washing and polishing
Articles for industrial use and articles used for fuel
X X X X 16
Mineral oils of all sorts X X X X xii Turkey red oil bye products 2 paise per litre of mineral oils x x x b Crude oil 1 paise per litre c grease petroleum jelly 2 percent ad valorem B 
Arti cles used for 0lighting
Oilseeds for inedible oils 50 paise per 50 kilograms Section 6 of the said Act provides for imposition of levy and collection of taxes on the entry of every specified goods into Cal cutta Metropolitan Area for consumption use or sale therein from any place outside that area at such rate not exceeding the rates specified in the corresponding entry in column No 3 of this Schedule as the State 626 Government may by notification specify
The State Government specified the goods entry of which into Calcutta Metropolitan Area will be liable to tax under this Act at the rate specified in corresponding column No 3 of the Schedule
On a reading of the aforesaid Sched ule it is clear and evident that Class I specifies articles liable to tax grouped under the caption of food and drink
Item No 4t specifies nuts excluding betel nuts as one of the items on which the rate of entry tax has been specifically mentioned therein
Under the said Class I in item No 4u oilman stores except edible oils has been mentioned and in Class 3 under heading B item No 22 refers to oil seeds of inedible oil as one of the specified items for imposition of tax
It has been urged on behalf of the respondents that a edible oils are exempted from imposition of tax under the said Act groundnut which is imported by the respondent dealers from out side the State into Calcutta Metropolitan Area for the purpose of manufacture of groundnut oil is exempted from the imposition of entry tax
It has been further urged in this connec tion that a very negligible quantity of groundnuts is used for edible purposes
The ground nuts are generally used as oil seeds for the purpose of manufacturing edible oil ie groundnut oil
It has been submitted that though groundnut is included within nuts in item No 4t yet it was rightly held by the Courts below that ground nuts used as oil seeds for the purpose of manufacture of groundnut oil is free from imposition of entry tax and as such the appeal should be dis missed
This contention of the learned counsel on behalf of the respondents cannot be sus tained in as much as nuts  has been specified as one of the items liable to be taxed under 4t for imposition of tax at the rate men tioned in corresponding column No 3
So on a plain reading of the said provisions it is clear and evident that groundnuts which answer the description of nuts is excisable to entry tax under the said Act
It is unnecessary to go into the question as to whether groundnut is also used for the purpose of extracting edible oil
The observations of this Court in the case of Avadh Sugar Mills Ltd vs Sales Tax Officer  Another supra wherein ground nut has been taken as oil seed for the purpose of UP Sales Tax Act
This has no beating for the purpose of imposition of entry tax under the said Entry Tax Act 1970 as it has been mentioned already hereinbefore that under item No 4t nuts  has been specifically men tioned as one of the specified goods for the imposition of entry tax
Once the goods answer the description of the item exigible to tax the importer of such goods cannot escape liability depending on the use to which he puts
No question of speculating about inten tion of the legislature arises when nuts  are in term specified as goods which are exigible to tax and groundnuts  fall under the de scription of nuts 
That groundnuts are 627 nuts is not disputed nor disputable that it is not so
An extract from Encyclopedia Britanni ca also leaves no room for doubt on this score and even the contention of the respondents is not that groundnuts are not nuts  but that when same are imported for extracting oil the same are not exigible to tax
Groundnuts are nuts  whether the same are consumed as they are or whether they are crushed for extracting oil they do not cease to be nuts
The relevant extract is appended below as appendix A
The legislative intent to tax nuts being very clear there is no room for considering whether groundnut is also oil seed used for manufacturing edible oil why  it is imported and whether it is exempt from entry tax on that account
Undoubtedly nuts include groundnut also
The contention of the respondents in our considered opinion is totally devoid of any merit and as such it is overruled
It is very relevant to mention here that the Taxes on Entry of Goods into Calcutta Metropolitan Area Act 1970 was replaced by the Taxes on Entry of Goods into Calcutta Metropolitan Area Act 1972 West Bengal Act V of 1972
In the said Act identical provision has been made for the imposition of entry tax on specified goods entering into Calcutta Metro politan Area  at the rates specified in corresponding column No 3 of the items mentioned in the Schedule
Class I item 4u specifies edible nuts excluding betel nuts as was in the previous Act of 1970
In Entry No 22 under Class IV oil seeds of vegetable oils other than mustard rape groundnut etc was mentioned
In item No 24 of the said Class IV vegetable oils other than mustard oil groundnut oil etc has been specifically mentioned
So this Act of 1972 also specifically mentions nuts  as one of the goods entry of which into Calcutta Metropolitan Area is subject to the levy of entry tax
This Act of 1972 was further amended in 1974 by West Bengal Act XIX of 1974
By the said Act it has been specifically mentioned in the Schedule to the Taxes on Entry of Goods into Calcutta Metropolitan Area Act 1972 in S1
No 4 item No u for the words nuts excluding betel nuts  the words nuts including groundnuts cashewnuts and walnuts but excluding betel nuts  shah be and shah be deemed always to have been substituted
In other words the words nuts including groundnuts cashewnuts and walnuts but excluding betel nuts  has been substituted retrospectively for the words nuts excluding betel nuts  in item No 4u
This amendment is clarificatory in nature and makes explicit what was implicit out of abundant caution and clearly puts an end to all controversies as to whether groundnuts import ed into Calcutta Metropolitan Area from outside is liable to imposition of entry tax
It makes patently clear that groundnut as one of the nuts  was always 628 subject to the imposition of entry tax under the said Entry Tax Act
The contention that groundnut imported into Calcut ta Metropolitan Area for the purpose of manufacture of groundnut oil which is one of the edible oils and which is exempted from the imposition of levy of entry tax cannot be sustained any longer in view of the express provisions of the Act
Considering all these facts and circumstances as well as considering that nuts excluding betel nuts being one of the specified goods mentioned in the Schedule to the said Act clearly bring within its field groundnut so groundnut imported into Calcutta Metropolitan Area is liable to the imposition of entry tax under the said Entry Tax Act
We therefore allow this appeal and set aside the judgment and order passed in Appeal from Original Order No 612 of 1971 without any order as to costs
The writ petition giving rise to the appeal will stand dismissed
In Civil Appeal No 4301 of 1984 the respondent made a similar challenge that groundnut which the petitioner im ported from outside the State into Calcutta Metropolitan Area could not be subjected to the levy of entry tax as the same is used as oil seed for manufacturing edible oil ie groundnut oil which is exempted from the incidence of entry tax under the said Act
This challenge was made in 1974 when the Taxes on Entry of Goods into Calcutta Metropolitan Area Act 1972 as amended by the Amendment Act West Bengal Act XIX of 1974 came into operation
We have already men tioned hereinbefore that in the Schedule to the Taxes on Entry of Goods into Calcutta Metropolitan Area Act 1972 in S1
No 4 item u for the words nuts excluding betel nuts  the words nuts including groundnuts cashewnuts and walnuts but excluding betels  shall be deemed always to have been substituted
In other words this amendment has been given retrospective effect and groundnut being specifically mentioned in SI
No 4u of the Schedule to the said Act there is no scope for any controversy that groundnuts  imported into Calcutta Metropolitan  Area are liable to entry tax under the provisions of the said Act
In this view of the matter this judgment will also govern Civil Appeal No 4301 of 1984 wherein identical questions have been raised
This appeal is also allowed without any order as to costs
The writ petition giving rise to the appeal will stand dismissed with no order as to costs
SR Appeals al lowed
629 Book Name ENCYCLOPAEDIA BRITANNICA Volume 16 Napoleon I to Ozonolysis Page 797 Nusaybin NUI Edition 1768 NUT generally any seed or fruit consisting of a kernel usually oily surrounded by a hard or brittle shell
Most edible nuts eg walnut brazil nut peanut etc are well known as dessert nuts
Not all nuts however are edible some are used as sources of oil or fat and may be regarded as oil seeds see Oil Plants others are used for ornaments
The botanical definition of a nut based on morphological features is more restrictive a hard dry one called one seeded fruit that does not split open at maturity
Among the nuts that fit both the botanical and popular conception are the acorn chestnut and filbert other so called nuts may be botanically seeds Brazil nuts legumes peanuts or drupes almond coconut pecan and walnut In this article the term nut will be used in its broadest sense unless otherwise indicated


Summary:
Section 6 of the Taxes on Entry of Goods into Calcutta Metropulitan Area Act 1970 provides for imposition of levy and collection of taxes on the entry of every specified goods into Calcutta Metropolitan Area for consump tion use or sale therein from any place outside that area at such rate not exceeding the rates specified in the corresponding entry in Column 3 of the Schedule as the State Government may by notification specify
CIasa specifies articles liable to tax grouped under the caption of food and drink
Item 4t specifies nuts excluding beetal nuts as one of the items on which the rate of entry tax has been specifically mentioned therein
Under the said Class l in item No4u oilman stores except edible oils has been men tioned and in Class 3 under heading b item No 22 refers to oil seeds of inedible oils as one of the specified items for imposition of tax
The respondents who are licensed dealers under the West Bengal Edible Oil Seed Dealers Licensing Order 1963 challenged the imposi tion of entry tax on groundnuts imported into Calcutta Metropolitan Area for the purpose of manufacture of groundnut oil under the provi sions of the Taxes on Entry of Goods into Calcutta Metropolitan Area Act 1970 on the ground that such importation of groundnuts as oil seeds is not subject to any levy under the provisions of the said Entry Tax Act in as much as there is no specific provision for levy on groundnuts as oil seeds for manufac turing edible oil
The respondents prayed for a mandate directing the appellants not to impose any entry tax on the ground that they are edible nuts failing under specific entry 01 edibles provided in the Schedule to the said Act and with a further prayer for refund of the taxes already imposed and collected by the 622 respondents
A learned Single Judge of the Calcutta High Court issued a writ of mandamus as prayed for
The State appeal against the judgment and order was dismissed and the judgment and order of the learned Single Judge was affirmed
Hence the appeal by special leave
Allowing the appeals the Court HELD 1
On a plain reading of the provi sions of the Taxes on Entry of Goods into Calcutta Metropolitan Area Act 1970 it is clear and evident that groundnuts which answer the description of nuts is excisable to entry tax under the said Act
Once the goods answer the description of the item exigible to tax under Item 4t the importer of such goods cannot escape liability depending on the use to which he puts
No question of speculating about intention of the legislature arises when nuts are in term specified as goods which are exigible to tax and groundnuts fall under the description of nuts
That ground nuts are nuts is not disputed nor disputable that it is not so
Groundnuts are nuts whether the same are consumed as they are or whether they are crushed for extracting oil they do not cease to be nuts
626E H 627A B 2
The legislative intent to tax nuts being very clear there is no room for consid ering whether groundnut is also oil seed used for manufacturing edible oil why it is imported and whether it is exempt from entry tax on that account
Undoubtedly nuts include groundnut also
Though the 1970 Act was re placed by the Taxes on Entry of Goods into Calcutta Metropolitan Area 1972 making iden tical provisions for the imposition of entry tax on specified goods entering into Calcutta Metropolitan Area West Bengal Act XIX of 1974 specifically mentioned in SINo4 item No u for the words nuts excluding betel nuts the words nuts including groundnuts cashewnuts and walnuts but excluding betel nuts shall be and shall be deemed always to have been substituted
627B G 3
The words nuts including groundnuts cashewnuts and Walnuts but excluding betel nuts has been substituted retrospectively for the words nuts excluding betel nuts in item No 4u
This amendment is clarificatory in nature and makes explicit what was implicit out of abundant caution and clearly puts an end to all controversies as to whether ground nuts imported into Calcutta Metropolitan Area from outside is liable to imposition of entry tax
It makes patently clear that groundnuts as one of the nuts was always subject to the imposition of entry tax under the said Entry Tax Act
Therefore the contention that groundnut imported into Calcutta Metropolitan 623 Area for the purpose of manufacture of ground nut oil which is one of the edible oils and which is exempted from the imposition of levy of entry tax cannot be sustained any longer in view of the express provisions of the Act
627G H 628A B Avadh Sugar Mills Ltd vs Sales Tax Offi cer  Anr 1973 Vol 31 STC 469 SC distinguished