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Therefore, considering the tests laid down by the Supreme Court for REP/DEPB licence as goods, will have to be applied and considered. It will have to be held that the SIL licences are also goods and consequently liable to sales tax. Once SIL is subjected to sale tax, then by virtue of section 13AA it will be liable to purchase tax.

11. There is yet another reason. To Explanation II to Entry C-1-26 by Mah. 21 of 1998, it was explained that for the purpose of the entry, import license shall include special import licence. By virtue of the explanation, the doubt if any has been removed An explanation may be added. ex abundati cautela to allay groundless apprehension. See Abdul Latif Khan Vs. Abadi Begum .. AIR 1934 SC 185;

Keshavji Ravji and Co. Vs. Commissioner of Income Tax, AIR 1991 SC 1806. It is also added sometimes to explain the meaning of the words contained in the section.

From this it would be clear that SIL would fall under Entry 26 of Schedule C-I.

12. In the instant case, there is no dispute that the Petitioners have used the SIL for importing goods. There is no dispute that the licences were purchased in Mumbai and used either in Mumbai or their branch at Delhi. The licence therefore, belonged to the company. The licence was not resold though the goods imported may have been resold. The consequences must follow that the purchase tax was payable on the same. Clearly therefore, levy of purchase tax cannot be faulted with. Once we come to the conclusion that SIL licence is subject to purchase tax, in our opinion, the various other questions need not be considered.

13. Section 13AA considering the facts would apply. Once section 13AA applies, the dealer would be liable to pay tax under the Act. Reliance placed in the Finance Minister's speech for the purpose of considering entry No.26 of Schedule I of Schedule C to our mind is misplaced. The only statement made there was that the Government has no intention to tax intangible goods unless they are specified. In the instant case, the import licences are specified. The REP Licencs/DEPB Licences, SIL licences are all import licences known by different nomenclatures . Against these licences the goods can be imported. Therefore, they are import licences.

Consequently the import licences shall clearly fall in Entry No. 26 of Part I of Schedule C.

14. The only other contention sought to be advanced was that during the year 1995-96 SIL had been transfered to Delhi Branch and the goods imported were sold over there and necessary taxes as applicable were paid under th;e Delhi General Sales Tax Act. We are really not concerned with the import of goods which is taxable separately. We are only concerned with SIL licences which was purchased by the petitioners and it was used for import of the goods whether at Mumbai or Delhi. There is no dispute that the Petitioners purchased the licence in Mumbai.