LexM/S . MANGALORE GANESH BEDI WORKS versus THE STATE OF MYSORE & ANOTHER
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' 1 S.C.R. SUPREME COURT RF PORTS 275 The appeal must therefore be allowed and the petition filed by the respondent dismissed. There will ho "" ""'" " '° oorogbo"'~ ppool ,.,,,,,.,, M/s .. MANGALORE GANESH BEDI WORKS v. THE STATE OF MYSORE & ANOTHER (S. K. DAS, J. L. KAPUR, A. K. SARKAR, 1f. HrnAYATULLAH and RAGHUBAll DAYAL, .JJ.) lnrlian Coinage-Enactment le?Jying tax in terms of naya paisa., if a taJ:ing measnrc-Constitntional ?Jalidity-Amendment -Effect-Indian Coinage Act, (Act. 3 of 1906), as amended by Indian coinage (Amendment) Act, (31 of 1955), s. 14-0onsti- lntion of India, Arts. 255, 197, 198, 199, 202. The appellant was a registered firm under the Mysore Sales Tax Act on which was imposed a tax of Rs. 1,16,728.44 Nps at the rate cf .02 Nps per rupee on a return of over Rs.58, 36,422·26 Nps. Its grievance was that according to Mysore Sales Tax Act, it was liable to Sales Tax at the rate of 3 pies for every rupee but after the amendment of Indian Coinage Act (Act 30 of 1906) by amending Act 31 of 1955, tax was levied at the rate of .02 Nps per rupee, which made him liable to pay more than 'vhat he \VOtild have paid if charged at the rate of 3 pies per rnpee. It was contended that such enhancen1ent of tax \Vas unconstitutional and illegal being in contravention of Article 255 0f the Constitution. Objection• by the appellant regarding the validity of tax were (1) that by the substitution of 2 naya paisas in place of 3 pies, a change '\vas brought in the tax exigihle by the Mysore Sales Tax Act and since this enact- ment enhancing the tax was eot enacted according to procedure for money hills not being in accordance with Articles 193, 199 and 207 of the constitution, the tax \Vas illegal and invalid; (2) that the Indian coinage ~'\cti being a central i\ct dealing ,vith "coinage and legal tender" under item 3G of I~ist I, could not change the rate of tax under the Mysore Sales Tax Act. 1962 Union Territory D.f Tri/mra, Agtirtala v. Gopal Chanikr Dutta Choudhury Shah, J. 1962 Septemb<r 25. 1962 M/s. Mangalore .CantJh Bedi Works v. The State of Mysore Kapur, 276 SUPREME COURT REPORTS [1963] SUPP. Held, that by substitution of new coinage, no enhance- ment of tax was enacted but was mere Iv a sbustitution of one coinage by another of equivalent value Und even assuming that it was a taxing measure, its validity could not be challenged on the ground that it offends Arts. 197 to 199 and the procedure laid down in Art. 202 of the Comtitution, because of Art. 212 which prohibits the validity of any proceedings in a Je~islature from being called in question for irregularity of procedure and formalities of .'\rt. 255 a re only matters of procedure. Held, further, that if the Indian Coinage Act had not the effect of changing 3 pies into .02 Nps in the rate of tax leviable under the Mysore Sales Tax Act, the Mysore Existing Laws (Constrnction of References to Values) Act, 1957, had made a provision for charging the tax in terms of naya paisas instead of pies, therefore, the levy of tax in terms of naya paisas was not unconstitutional, nor \Vas it a taxing measure, but dealt mere I~. with the canversion of the old coinage into new coinage. CIVJL.APPELLATE JuRISDICTTON : Civil Appeal No. 194 of 1962. Appeal by special leave from the order dated July 15, 1960, of the Mysore High Court in Writ Petition No. 719 of 19fi0. N. C. Chatterjee and S. S. Shukln, for the appellant. N. S. Bindra. and P. D. .Menon, for the respond en ts. 1962. September 25. The Judgment of the Court was delivered by KAPUR, J.-This is an appeal by special leave against the judgment and order of the High Court of Mysore dismissing the assessee's petition under Art. 226 of the Constitution for quashing the order of assessment relating to two quarters i. e. from April ], 1957 to September 30, 1957, under the Mysore Sales Tax Act, Act VI of 1948. The appellant is a firm registered under the Mysore Sales Tax Act and was assessed to sales tax I .. 1 S.C.R. SUPREl\IE COURT REPORTS 277 on a return of over Rs. ii8,:ln,422.:W Nps and the tax imposed on lhat sum at .112 Nps per rupee was Rs. I,rn, 728.44 Nps. The grievance of the appellant was that according to the Mysore Saks Tax Act he was liable to sales tax at the rate of :: pies for every rupee on the turnover and calculated on that basis the amount of tax would be Rs. 91,ti!JO/- but after the amendment
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