Assessee is engaged in trading of timber sawn into different dimensions and shapes. Assessing Officer held assessee to be assessee in default for non-collection of tax on sale of sawn timber as per section 206C(1) of the Act. On appeal CIT(A) set aside the order of the Assessing Officer. On appeal the Tribunal held that liability liability under section 206C would not arise in case of trader in swan timber. On appeal by Revenue dismissing the appeal the Court held that  since timber sold by assessee was not obtained from forest and same was imported from other countries for trading purpose, said timber would not amount to forest produce and, thus, provisions of section 206C(1) were not applicable (AY. 2005-06 to 2009-10)