Law:

Section:

Sales Tax Act (III of 1951)- -S. 3(4)-Central Excise Rules, 1944, Rr. 10, 210 & 226-Sindh Pure Food Ordinance (VII of 1960), S. 2(9)-Sindh Pure Food Rules, 1965, Item No. 50-Honey food having medicinal qualities- Department issued show cause notice to the petitioner for payment of sales tax for selling honey packed in tubes to medical stores-Petitioner denied said demand contending that honey being natural product/medicine was not subject to levy of any sales tax and excise duty-Validity-Use of any food item for medicinal purposes would not make the same a medicine-Honey although possessed medicinal qualities which had miraculous effect on human body, but the same could not be considered to be medicine-Any product or substance had to be seen and examined in its entirety rather, than discussing proprieties of the same in small sphere-Honey had to be seen in broader spectrum and not in limited manner, since honey had medicinal effect on some diseases hence the same was to be considered as medicine-Under S. 2(9), Explanation of Sindh Pure Food Ordinance, 1960, an article would not cease to be a food by reason only that the same was also capable of being used as medicine-For proving something as medicine or drug, the product had to pass through various tests as provided under the drug laws and the same had to be registered under the same law-Under Sindh Pure Food Rules, 1965, honey had been categorized as item No. 50 as a sweeting agent, which meant that honey had been recognized as food item-Primary use of honey was food and not medicine-Petitioner himself had never considered honey as drug: as honey neither had found mention in his list of Unani medicine nor had the same been registered as drug before the drug authorities-Material relied upon by the petitioner had also regarded honey as food having antibacterial and other medicinal properties-Honey, being food, was, therefore, not exempt from levy of sales tax and central excise duty-Constitutional petition was dismissed in circumstances. Sultan Ahmad Bari v. Collector of Central Excise and Land Customs Karachi and others 1983 CLC 1538 ref. THIS JUDGMENT DELIVERED BY: IRFAN SAADAT KHAN,…

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