M/S. JHUNJHUNWALA vs STATE OF U.P. .

The Supreme Court upheld the Allahabad High Court's judgment that the appellants were liable to pay tax as 'manufacturers' under Section 2(ee) of the Uttar Pradesh Trade Tax Act, 1948. The Court found that the definition of 'Manufacturer' was sufficiently broad to include the appellants' activities as commission agents selling timber. Additionally, the Court affirmed the validity of the circular issued by the Commissioner of Trade Tax, stating that Section 3-AAAA empowered tax authorities to levy and collect tax. The appeals were dismissed, confirming the High Court's ruling.