Civil Appeal No 631 of 1973
Appeal by Special Leave from the Judgment and Order dated 1416th November 1970 of the Gujarat High Court in Sales Tax Reference No 969
R P Bhatt and section P Nayar for the Appellant
Appeal Set down ex Parte against respondent
The following Judgments were delivered
BHAGWATI J I have had the advantage of reading the judgment prepared by my learned brother Sen and I entirely agree with the conclusion reached by him but I would like to state briefly my 873 own reasons for arriving at that conclusion
The facts giving rise to this appeal have been stated with admirable succinctness by my learned brother Sen and I need not repeat them
The facts in deed are not material because only one single question of law arises for determination in this appeal and it does not depend on any particular facts
The question is a very simple one namely whether the expression Registered dealer  in sec8ii of the Bombay Sales Tax Act 1959 as applicable to the State of Gujarat hereinafter referred to as the Bombay Act means only a dealer registered under section 22 of that Act or it also comprises a dealer registered under the hereinafter referred to as the Central Act
Since the decision of this question turns on the true interpretation of the expression Registered dealer 
in sec8ii of the Bombay Act we may reproduce that section as follows Sec8 There shall be levied a sales tax on the turn over of sales of goods specified in Schedule C at the rate set out against each of them in column 3 thereof but after deducting from such turnover i     ii resales of goods purchased by him on or after the appointed day from a Registered dealer if the goods at the time of their purchase were goods specified in Schedule C
This section has obviously been enacted to prevent multiple point taxation on goods specified in Schedule C
Where goods specified in Schedule C  are sold by a dealer and obviously he must be a dealer registered under section 22 of the Bombay Act if he is liable to pay tax under that Act the turnover of these sales is liable to be taxed at the rate specified against each category of goods in that Schedule but if the sales in question are re sales of goods purchased by the dealer on or after the appointed day from a Registered dealer  they would be liable to be excluded from the turnover because the Registered dealer  from whom they are purchased would have paid tax under the main part of section 8 and the goods having already borne tax in the hands of the selling Registered dealer  the legislative intent is that they should not suffer tax again
Now the expression Registered dealer  is defined in section 215 of the Bombay Act to mean a dealer registered under section 22 and therefore ordinarily the expression Registered dealer  as used in section 8ii must carry the same meaning namely a dealer registered under section 22 of the Bombay Act
But as the opening part of section 2 shows the definitional meaning is subject to anything repugnant in the subject or 874 context
The context in which the defined word occurs may clearly indicate that it is used in a sense different from that given in the definition clause
We must therefore see whether there is anything in section 8ii or in the context in which it occurs which should compel us to place on the expression Registered dealer  as used in that section a meaning different from that given to it in section 215
We are afraid we do not find anything in the subject or context of sec8ii which would persuade us to depart from the definitional meaning of the expression Registered dealer 
The subject and context in fact re enforce the view that the expression Registered dealer  in sec8ii is used to mean a dealer registered under sec22 of the Bombay Act and does not include a dealer registered only under the Central Act
If a dealer is registered only under the Central Act and not under the Bombay Act it would mean that he is not liable to pay tax under the Bombay Act and in that event even if he has sold goods specified in Schedule C  to a registered dealer under an intra State sale no tax would be payable by him on such sale and if the purchasing dealer is also to be exempt from tax in respect of re sale effected by him the result would be that the goods would escape tax altogether and not suffer even single point tax
That surely could not have been the intendment of the legislature in enacting section 8ii
It would indeed frustrate the object of section 8ii which is to provide for imposition of single point tax on the goods specified in Schedule C 
The situation would be the same even where the sale effected by the dealer registered under the Central Act is an inter State sale
That sale would undoubtedly be taxable under the Central Act but it is difficult to see why the Gujarat State should give exemption to re sale of goods in respect of which at the time of the first sale tax has been levied under the Central Act of which the benefit has gone to another State
Moreover in such a case the first sale being an inter State sale would be taxable at a fixed concessional rate under section 81a or at the rate of 7 or at a rate equal to or twice the rate applicable to the sale of such goods in the State of the selling dealer under clause a or b of sub section 2 of sec
8 of the Central Act and if that be so it is impossible to understand why the Legislature should have insisted for attracting the applicability of section 8ii that the goods resold by the dealer should at the time of their first sale be goods specified in Schedule C 
The requirement that the goods at the time of their first sale by the Registered dealer  should be of one of the categories specified in Schedule C  is a clear pointer that the Registered dealer  contemplated in this provision is a dealer registered under section 22 of the Bombay Act because it is only with reference to such a dealer liable to pay tax under the Bombay Act that this 875 requirement of the goods sold by him being goods specified in Schedule C  can have any meaning and significance
We are therefore clearly of the view that the expression Registered dealer  is used in section 8ii in its definitional sense to mean a dealer registered under section 22 of the Bombay Act and it does not include a dealer registered under the Central Act
The Revenue however relied on section 4 of the Bombay Act and tried to project it in the interpretation of the expression Registered dealer  in section 8ii
We fail to see how section 4 can at all help in throwing light on the true interpretation of the expression Registered dealer 
That section provides Sec 41 Notwithstanding anything in section 3 a dealer who is registered under the  but who is not liable to pay tax under the said section 3 shall nevertheless be liable to pay tax a on Sales of goods is respect of the purchase of which he has furnished a declaration under sub sec
4 of section 8 of the  and b on sales of goods in the manufacture of which the goods so purchased have been used and accordingly the provisions of sections 7 to 12 both inclusive shall apply to such sales as they apply to the sales made by a dealer liable to pay tax under section 3
2 Every dealer who is liable to pay tax under sub section 1 shall for the purposes of sections 32 33 35 36 37 38 46 47 and 48 be deemed to be a Registered dealer
 It is obvious that if a dealer is not registered under the Bombay Act it could only be on the basis that he is not liable to pay tax under the Bombay Act but even so section 4 sub section 1 provides that if he is registered under the Central Act he would be liable to pay tax under the Bombay Act in respect of the transactions of sale set out in that section
This liability arises despite the fact that the dealer not being liable to pay tax under section 3 of the Bombay Act is not registered under that Act
The question then would be if the dealer is not registered under the Bombay Act how to recover the tax from him The dealer not being registered under the Bombay Act the machinery of the Bombay Act would not of itself apply for recovery of tax from him
Section 4 sub section 2 therefore enacts that every dealer who is liable to pay tax under sub section 1 shall for the purposes of sections 32 to 38 and 46 876 to 48 be deemed to be a Registered dealer
Sections 32 to 38 and 46 to 48 are machinery sections and it is for the purpose of making the machinery of these sections applicable for recovery of the tax imposed on the dealer under sub section 1 of section 4 that an artificial fiction is created deeming the dealer to be a Registered dealer that is a dealer registered under section 22 of the Bombay Act
This legal fiction is created for a specific purpose and it is limited by the terms of sub section 2 of section 4 and it cannot be projected in section 8ii
Section 4 has in fact nothing to do with section 8ii
They are distinct and independent provisions operating on totally different areas and it is difficult to see how section 4 can be availed of for the purpose of interpreting the expression Registered dealer in section 8ii
I would therefore set aside the judgment of the High Court under appeal and answer the question referred by the Tribunal in favour of the Revenue and against the assessee
There will be no order as to costs of the appeal
SEN J
This appeal by special leave is from a judgment of the Gujarat High Court upon a question of law referred to it under sub s1 of s61 of the Bombay Sales Tax Act 1959 hereinafter referred to as the Act 
By that judgment the High Court answered the question referred in the affirmative and in favour of the assessee
The point involved is of considerable importance
The facts giving rise to the reference were these Messrs Union Medical Agency Ahmedabad was at all material times carrying on business in spirit and alcohol and was a dealer registered under s22 of the Act hereinafter referred to as the assessee 
In the assessment year 1964 65 the corresponding accounting year of which was the year ending March 31 1965 the assessee claimed deduction from its turnover in respect of resales of certain goods purchased from one Motibhai Gopalbhai Patel of Baroda who at the relevant time was a dealer registered under s7 of the hereinafter referred to as the Central Act  but was not a dealer registered under section 22 of the Act
The Sales Tax Officer rejected the claim of the assessee for such deduction on the ground that the said Motibhai Gopalbhai Patel from whom the goods were purchased was not a registered dealer within the meaning of clii of s8 of the Act inasmuch as he was not registered as a dealer under s22 of the Act
The assessee appealed to the Assistant Commissioner of Sales Tax the only material ground being that the expression registered dealer  in cl
ii of section 8 of the Act was wide enough to 877 include a registered dealer under the but the Assistant Commissioner affirmed the disallowance of the deduction
On further appeal the Gujarat Sales Tax Tribunal agreeing with the Sales Tax Authorities held that in order to claim deduction from the turnover of sales of goods under cl
ii of section 8 of the Act what was required to be shown was that the goods were purchased by the dealer on or after the appointed day from a registered dealer  under the Act and that in view of the definition of the expression registered dealer  in sub s25 of s2 of the Act such dealer had to be a dealer registered under s22 of the Act
The Tribunal accordingly held that since Motibhai Gopalbhai Patel the Baroda dealer from whom the assessee had purchased the goods was not a registered dealer under the Act therefore the requirements of clii of s8 of the Act were not fulfilled and the claim for deduction made by the assessee had been rightly disallowed
On the application of the assessee the Tribunal referred the following question of law to the High Court under sub section
1 of section 61 of the Act for its opinion namely Whether for the purpose of allowing deduction from the turnover of sales under clause ii of section 8 of the Bombay Sales Tax Act 1959 purchases of goods made by a dealer registered under the Bombay Sales Tax Act 1959 from a dealer registered under the but not registered under the Bombay Sales Tax Act
1959 can be said to be purchases of goods made from a registered dealer within the meaning of clause ii of section 8 of the Bombay Sales Tax Act 1959
 It appears that the High Court was not satisfied at this formulation as it felt that the statement of the case as made by the Tribunal did not bring out the real question of law arising out of its order
At the instance of the assessee it re framed the question in the following terms Whether for the purpose of allowing deduction from the turnover of sales under clause ii of section 8 of the Bombay Sales Tax Act 1959 purchases of goods made by a dealer registered under the Bombay Sales Tax Act 1959 from a dealer who is registered under the and who is liable to pay tax under section 4 of the Bombay Sales Tax Act 1959 though not registered under the Bombay Sales Tax Act 1959 can be said to be purchases of goods made from a registered dealer within the meaning of clause ii of section 8 of the Bombay Sales Tax Act 1959
 878 We feel that the High Court was not justified in re framing the question as referred
It is nobody s case that Motibhai Gopalbhai Patel the Baroda dealer from whom the assessee had purchased the goods had ever paid any tax on the sales effected by him under s4 of the Act
Nor is there any material on record to suggest that any proceedings were started against the Baroda dealer for subjecting the transactions to tax
In answering the reference in the affirmative in favour of the assessee and against the Commissioner of Sales Tax the High Court observes The result of the foregoing discussion is that having regard to the context collocation and the object of the expression registered dealer  in clause ii of section 8 of the Bombay Act and having regard to the policy of the Act the said expression would also include a dealer registered under the Central Act on whom special liability to pay sales tax has been imposed under section 4 of the Act
A dealer who purchases goods from a dealer registered under the Central Act who is liable to pay sales tax on the sale of the said goods by virtue of the provisions of section 4 of the Bombay Act would therefore be entitled to deduct from his turnover of sales of goods resales of goods so purchased by him on or after the appointed day if the goods at the time of their purchase were goods specified in Schedule C This conclusion of the High Court can hardly be supported
The short question that falls for determination in the appeal is whether the expression registered dealer  in clii of s8 of the Act must bear the meaning that is assigned to it in section 225 which is the definition section or the said expression is capable of bearing an enlarged meaning in view of the subject and context in which it is used in clii of s8 of the Act
The decision of the appeal must turn on the construction of clii of s8 of the Act which provides 8
There shall be levied a sales tax on the turnover of sales of goods specified in Schedule C at the rate set out against each of them in column 3 thereof but after deducting from such turnover i        ii resales of goods purchased by him on or after the appointed day from a Registered dealer if the goods at the time of their purchase were goods specified in Schedule C 879 In the Act the expression registered dealer  is defined in section 225 in these terms 2
In this Act unless the context otherwise requires 25 Registered dealer means a dealer registered under section 22
 The error in the decision of the High Court lies in its misunderstanding of the scope and effect of section 4 of the Act which it has tried to project into cl
ii of section 8 and it reads as follows 4
1 Notwithstanding anything in section 3 a dealer who is registered under the  but who is not liable to pay tax under the said section 3 shall nevertheless be liable to pay tax a on sales of goods in respect of the purchase of which he has furnished a declaration under sub section 4 of section 8 of the  and b on sales of goods in the manufacture of which the goods so purchased have been used and accordingly the provisions of sections 7 to 12 both inclusive shall apply to such sales as they apply to the sales made by a dealer liable to pay tax under section 3
2 Every dealer who is liable to pay tax under sub section 1 shall for the purposes of sections 32 33 34 35 36 37 38 46 47 and 48 be deemed to be a Registered dealer
 Sub section 3 of section 7 reads 73 In order to ensure that after the date of the coming into force of section 15 of the  tax shall not be levied on the sales or purchases of Declared goods at more than one stage it is hereby provided that if under this Act or any earlier law any tax has been levied or is leviable on the sale or purchase of such goods then no further tax shall be levied under this Act on any subsequent sale or purchase thereof and accordingly for the purpose of arriving at the taxable turn over of sales or purchases of a dealer there shall be deducted from his total turnover of sales or as the case may be of purchases the sales or purchases of such declared goods as have borne tax at any earlier stage
 There is no obscurity in the language of cl
ii of section 8 of the Act
It is clear from the terms of cl
ii of section 8 that no deduction is claimable in respect of resales of goods purchased from a dealer registered under the Central Act who is not a registered dealer within the meaning of section 225 of the Act
It follows that the 880 expression registered dealer  in cl
ii of section 8 of the Act must bear the meaning of that expression as given in section 225 of the Act
If the meaning of the section is plain it is to be applied whatever the result
It is a well settled principle that when a word or phrase has been defined in the interpretation clause prima facie that definition governs whenever that word or phrase is used in the body of the statute
But where the context makes the definition clause inapplicable a defined word when used in the body of the statute may have to be given a meaning different from that contained in the interpretation clause all definitions given in an interpretation clause are therefore normally enacted subject to the usual qualification unless there is anything repugnant in the subject or context  or unless the context otherwise requires 
Even in the absence of an express qualification to that effect such a qualification is always implied
The expression registered dealer  having been defined in s225 of the Act as having a particular meaning ie a dealer registered under section 22 of the Act it is that meaning alone which must be given to it in interpreting cl
ii of s8 of the Act unless there is anything repugnant to the context
It was not permissible for the High Court to ignore a statutory definition and give to the expression a wider meaning independent of it
There is nothing to suggest that the expression registered dealer  is used in cl
ii of s8 of the Act in any different sense from that in  which it is defined
It is significant to notice that whenever the legislature wanted that the expression registered dealer  should have a different meaning it has expressly said so
Thus in sub s1 of s4 it mentions of a dealer who is registered under the 
The distinction between the two classes of dealers is therefore clearly maintained
The High Court was obviously wrong in not interpreting the expression registered dealer  in the context of cl
ii of s8 but with reference to the other provisions of the Act particularly in the light of section 4 of the Act to give effect to the so called legislative intent for the levy of a single point tax
It was in error in making an exposition ex visceribus actus and in relying upon the leading cases of Bywater vs Brandling Rein vs Lane Jobbins vs Middlesex Country Council Craies on Statute Law 6th ed 99 and Maxwell on Interpretation of Statutes 8th ed 30
The High Court expresses the view that the legislative intent in enacting cl
ii of s8 of the Act is two fold 1 to restrict the levy 881 of sales tax to a single point and to avoid multiple levy of sales tax on goods and 2 that sales tax should be levied at the stage of the first sale and should be recovered from the registered dealer who effects the first sale and that all subsequent sales of such goods should not be subjected to sales tax over again
In the light of this so called legislative intention and the policy of the Act the High Court observes that having regard to the context collocation and the object of the expression registered dealer  in clii of s8 of the Act  and having regard to the legislative intent namely to levy a single point tax under sub s3 of s7 of the Act  the expression registered dealer  in cl
ii of s8 would also include a dealer registered under the  on whom a special liability to pay sales tax has been imposed under s4
Upon that view it held that a dealer who purchased goods from a dealer registered under the Central Act who was liable to pay sales tax on the sale of such goods by virtue of the provisions of s4 of the Act would be entitled to deduct from his turnover of sales of goods resales of goods so purchased by him on or after the appointed day if the goods at the time of their purchase were goods specified in Schedule C of the Act
It accordingly held that the meaning of the expression registered dealer  in clii of s8 was not limited only to a dealer registered under the Act but it was wide enough to also include a dealer registered under the Central Act
There is no dispute with the proposition that the meaning of a word or expression defined may have to be departed from on account of the subject or context in which the word had been used and that will be giving effect to the opening sentence in definition section namely unless the context otherwise requires 
In view of this qualification the Court has not only to look at the words but also to look at the context the collocation and the object of such words relating to such matter and interpret the meaning intended to be conveyed by the use of the words in a particular section there is no scope for the application of the rule ex visceribus actus
This rule is never allowed to alter the meaning of what is of itself clear and explicit
The authorities relied upon by the High Court are therefore not applicable
While accepting that sub s3 of s7 of the Act was to give effect to cla of s15 of the Central Act and therefore cannot control the interpretation of clii of s8 the High Court commits the mistake of interpreting the expression registered dealer  appearing therein in the context of s4 of the Act
The provisions of s4 sub s3 of s7 and clii of s8 of the Act operate in three different fields
882 While s4 of the Act provides that a registered dealer under the Central Act who may not be liable to pay tax under s3 of the Act may nevertheless in certain contingencies be liable to pay tax sub section
3 of s7 provides for the levy of single point tax on sales in the course of inter state trade and commerce of declared goods to bring the Act in conformity with cla of s15 of the Central Act
The object and purpose of enacting the provisions of s8 are entirely different namely to lay down the mode of computation of the turnover of sales or purchases of a registered dealer for the imposition of a tax
Clause ii of s8 allows for deduction of resales from the turnover of such registered dealer when the goods are purchased from a registered dealer ie a dealer registered under s22 of the Act
In effect s8 deals with transactions of sale or purchase taking place within the State
There is a fallacy in the reasoning of the High Court
It seems that the High Court was obsessed with two factors namely 1 the concept of a single point tax under sub s3 of s7 of the Act and 2 the fact that a registered dealer under the Central Act who may not be liable to pay tax under s3 of the Act may nevertheless in certain contingencies be liable to pay tax
It failed to appreciate that clii of s8 which allows for deduction of sales by one registered dealer to another deals purely with inside sales
The expression registered dealer  in clii of s8 is sought to be given an enlarged meaning by stretching in effect the legal fiction contained in sub s2 of s4
After observing that the legal fiction in sub s2 of s4 is created for a limited purpose it goes on to observe It would therefore have been inappropriate or at any rate wholly inartistic for the legislature to provide in sub section 2 of section 4 that every dealer who is liable to pay tax under sub section 1 shall be deemed to be a registered dealer for the purpose of clause ii of section 8 since the latter section provides for the levy of sales tax on sales of goods of an altogether different dealer after making certain deduction from the turnover of sales of goods of such dealer
The legislature could have made a specific provision if any in this behalf only in clause ii of section 8 and not in sub section 2 of section 4 The High Court proceeds on the hypothesis that the transactions in question must have been brought to tax in the hands of the Baroda dealer and therefore it became necessary to avoid multiple levy of sales tax
On that assumption it felt that it was necessary to give to the assessee the benefit of s8ii of the Act although the Baroda dealer was not a registered dealer within the meaning of 883 section 225 ie registered as a dealer under section 22 of the Act
We regret to say that in reaching that conclusion the High Court has proceeded on mere conjectures and surmises
For aught we know the Baroda dealer at the relevant time might not be engaged in the business of selling goods in the State of Gujarat and was therefore not a dealer liable to pay tax at all
Perhaps he was primarily engaged in effecting sales in the course of inter State trade and commerce or it may be that the inside sales effected by him did not exceed the taxable limits
Both the parties proceeded upon the basis that the purchases effected by the assessee were not subjected to tax
It was therefore not right for the High Court to hold that the disallowance of deduction claimed by the assessee under clii of s8 of the Act would result in double taxation of the same goods
It is evident that the High Court has completely misdirected itself
The transactions of sales effected by the Baroda dealer to the assessee who was a dealer at Ahmedabad were clearly inside sales
While it is true that the Baroda dealer being a dealer registered under s7 of the was in certain contingencies liable to pay tax under s4 of the Act but that circumstance by itself would not make him a registered dealer  within the meaning of section 225 of the Act
If the legislature really intended that the expression registered dealer  in clii of s8 should take within its ambit a dealer registered under the  upon whom liability to pay sales tax is imposed by s4 of the Bombay Act it would have said so in clear words
It would have made necessary provision in that behalf in sub s2 of s4 which provides that every dealer liable to pay tax under sub s1 shall be deemed to be a registered dealer for purposes of certain sections of the Bombay Act viz sections 32 33 34 35 36 37 38 46 47 and 48
It is thus apparent that the legal fiction in sub s2 of s4 is created for a limited purpose namely to make section 4 a self contained code which not only imposes a charge of tax and lays down the rate structure but also provides the machinery for assessment and recovery of tax and penalty
The legal fiction contained in sub s2 of s4 of the Act cannot be stretched any further
For these reasons the judgment of the High Court answering the reference in favour of the assessee is set aside
The question referred by the Tribunal is answered in the negative and in favour of the Revenue
There shall be no order as to costs
SR Appeal allowed


Summary:
Allowing the appeal by special leave and answering against the assessee the Court
 HELD Per BhagwatiJ Concurring with Sen and Venkataramiah JJ 1 The expression Registered dealer is used in section 8 ii in its definitional sense to mean a dealer registered under section 22 of the Bombay Sales Tax Act and it does not include a dealer under the Central Sales Tax Act
875A 2 The object of section 8 is to prevent a multiple point taxation on goods specified in Schedule C and for imposition of single point tax on them under the Act
If a dealer is registered only under the Central Act and not under the Bombay Act it would mean that he is not liable to pay tax under the Bombay Act and in that event even if he has sold goods specified in Schedule C  to a registered dealer under an intra State sale no tax would be payable by him on such sale and if the purchasing dealer is also to be exempt from tax in respect of re sale effected by him the result would be that the goods would escape tax altogether and not suffer even single point tax
That is not the intendment of the legislature in enacting section 8ii on the contrary it would frustrate the very object of that section
The situation would be the same even where the sale effected by the dealer registered under the Central Act is an inter State sale
That sale would undoubtedly be taxable under the Central Act but there is no reason why the Gujarat State would give exemption to re sale of goods in respect of which at the time of the first sale tax has been levied under the Central Act of which the benefit has gone to another State
Moreover in such a case the first sale being an inter State sale would be taxable at a fixed concessional rate under section 81a or at the rate of 7 or at a rate equal to or twice the rate applicable to the sale of such goods in the State of the selling dealer under clause a or b of sub section 2 of section 8 of the Central Act and if that be so it is difficult to understand why the Legislature should have insisted for attracting the applicability of section 8ii that the goods re sold by the dealer should at the time of their first sale be goods specified in Schedule C 
873F G 874C G 871 3 Sections 4 and 8ii of the Bombay Act are distinct and independent provisions operating on totally different areas
The legal fiction in sub section 1 of section 4 is created for a specific purpose and it is limited by the terms of sub section 2 of section 4 and it cannot be projected in section 8ii
If a dealer is not registered under the Bombay Act it could only be on the basis that he is not liable to pay tax under the Bombay Act but even so section 4 sub section 1 provides that if he is registered under the Central Act he would be liable to pay tax under the Bombay Act in respect of the transactions of sale set out in that section
This liability arises despite the fact that the dealer not being liable to pay tax under section 3 of the Bombay Act is not registered under that Act
The dealer not being registered under the Bombay Act the machinery of the Bombay Act would not of itself apply for the recovery of tax from him
Section 4 sub section 2 therefore enacts that every dealer who is liable to pay tax under sub section 1 shall for the purpose of sections 32 to 38 and 46 to 48 be deemed to be a registered dealer
Sections 32 to 38 and 46 to 48 are machinery sections and it is for the purpose of making the machinery of these sections applicable for recovery of the tax imposed on the dealer under sub section 1 of section 4 that an artificial fiction is created deeming the dealer to be a registered dealer that is a dealer registered under section 22 of the Bombay Act
Per Sen J On behalf of himself and Venkataramiah J
1 It is a well settled principle that when a word or phrase has been defined in the interpretation clause prima facie that definition governs whenever that word or phrase is used in the body of the statute
But where the context makes the definition clause inapplicable a defined word when used in the body of the statute may have to be given a meaning different from that contained in the interpretation clause all definitions given in an interpretation clause are therefore normally enacted subject to the usual qualification unless there is anything repugnant in the subject or context or unless the context otherwise requires
Even in the absence of an express qualification to that effect such a qualification is always implied
The expression registered dealer having been defined in section 225 of the Bombay Act as having a particular meaning that is a dealer registered under section 22 of the Act it is that meaning alone which must be given to it in interpreting clause ii of section 8 of the Bombay Act unless there is anything repugnant to the context 880B D There being no obscurity in the language of clause ii of section 8 of the Bombay Act it is clear that no deduction is claimable in respect of re sales of goods purchased from a dealer registered under the Central Act who is not a registered dealer within the meaning of section 225 of the Act
It follows that the expression registered dealer in clause ii of section 8 of the Act must bear the meaning of that expression as given in section 225 of the Act
If the meaning of the section is plain it is to be applied whatever the result 879H 880A 2 The meaning of a word or expression defined may have to be departed from on account of the subject or context in which the word had been used and that will be giving effect to the opening sentence in definition section namely unless the context otherwise requires
In view of this qualification the Court has not only to look at the words but also to look at the context the collocation and the object of such words relating to such matter and interpret the meaning intended to be conveyed by the use of the words in a particular section
But where there is no obscurity in the language of the section 872 there is no scope for the application of the rule ex visceribus actus
This rule is never allowed to alter the meaning of what is of itself clear and explicit
881E G Bywater vs Brandling  Rein vs Lane and Jobbins vs Middlesex County Council Craies  held inapplicable
3 The provisions of section 4 sub section 3 of section 7 and clause ii of section 8 of the Bombay Act operate in three different fields
While section 4 of the Act provides that a registered dealer under the Central Act who may not be liable to pay tax under section 3 of the Act may nevertheless in certain contingencies be liable to pay tax sub section 3 of section 7 provides for the levy of a single point tax on sale in the course of inter State trade and commerce of declared goods to bring the Act in conformity with clause a of section 15 of the Central Act
The object and purpose of enacting the provisions of section 8 are entirely different namely to lay down the mode of computation of the turnover of sales or purchases of a registered dealer for the imposition of a tax
Clause ii of section 8 allows for deduction of re sale from the turnover of such registered dealer when the goods are purchased from a registered dealer that is a dealer registered under section 22 of the Act
In effect section 8 deals with transactions of sale or purchase taking place within the State
The disallowance of deduction claimed by the assessee under clause ii of section 8 of the Act therefore would not result in double taxation of the same goods
881H 882C 883C While it is true that the Baroda dealer being a dealer registered under section 7 of the Central Sales Tax Act in the instant case was in certain contingencies liable to pay tax under section 4 of the Act but that circumstance by itself would not make him a registered dealer within the meaning of section 225 of the Act
If the legislature really intended that the expression registered dealer in clause ii of section 8 should take within its ambit a dealer registered under the Central Sales Tax Act upon whom liability to pay sales tax is imposed by section 4 of the Bombay Act it would have said so in the clear words section 2 of section 4
The legal fiction in sub section
2 of section 4 is created for a limited purpose namely to make section 4 a self contained code which not only imposes a charge of tax and lays down the rate structure but also provides the machinery for assessment and recovery of tax and penalty
The legal fiction contained in sub section
2 of section 4 of the Act cannot be stretched any further
883D E G