JUDGMENT R.A. Sharma, J. - Petitioner No. 1 is an authorised petrol dealer of Indian Oil Corporation and petitioner No. 2 is a registered association formed by all the petrol dealers of the State of U.P. They have challenged the orders dated 13-6-1990, 27-6-1990 and 2-7-1990, issued by the Government of U P District Excise Officer Ghaziabad and Excise Inspector, Ghaziabad respectively. By these orders, petitioners have been required to get themselves registered under S. 5 of the U.P. Sales of (Motor Spirit, Diesel Oil and Alcohol) Taxation Act, 1939 (here- in-after referred to as the Act.) 2. The respondents have filed counter affidavit and the petitioners have filed rejoinder affidavit in reply there to. We heard the learned counsel for the petitioners and the learned Standing Counsel and the Writ petition is decided in accordance with the Rules of the Court. 3. The Act is a taxing statute providing for tax on sale of motor spirit and diesel oil in the State of U.P. Section 3 is the charging Section. S. 3, as it stood before its amendment by U.P. Act No. 8 of 1978 is reproduced below. "3. Levy of Tax. - "(1) There shall be levied from every retail dealer and collected in such manner as may be prescribed, a tax on the retail sales of motor spirit and diesel oil at such rate, or rates, as may be notified, not exceeding nine naya paise in the case of motor spirit, and seven naye paise in the case of diesel oil per litre on such sales." (2) If any tax payable under sub-section (1) is not paid within the time prescribed, the prescribed authority may, in lieu thereof, recover any sum not exceeding double the amount of the tax so unpaid, or any smaller sum above the amount of the tax, which such authority may think it reasonable to recover." Under this section tax was levied from the retail dealers on the retail sale of motor spirit and diesel oil. `Retail sale' was defined by Section 2(d) of the Act as follows : "2. `Retail sale' was defined by Section 2(d) of the Act as follows : "2. (d) "retail sale" means a sale by a retail dealer of (motor spirit or diesel oil or both) to a person for the purpose of consumption by the person by whom or on whose behalf it is or may be purchased and includes the consumption by a retail dealer himself or on his behalf of (motor spirit or diesel oil or both) sold to him for retail sale." By U.P. Act No. 8 of 1978, Section 3 of the Act was amended. Section 3, as it stands after it amendment, is reproduced below. "3. Levy of Tax. (1)(a) There shall be levied on the first sale of Motor Spirit in the State, a tax at the rate of (ten per cent) ad valorem, and such tax shall be payable to the State Government in the prescribed manner by the dealer effecting such sale. (b) there shall be levied on the first sale of Diesel Oil in the State, a tax at the rate of eight per cent, and from the date notified by the State Government for the purpose at the rate of twelve per cent ad valorem and such tax shall be payable to the State Government in the prescribed manner by the dealer effecting such sale; (c) there shall be levied at the point of first purchase of alcohol in the State a tax at the rate of 40 paise per litre for the first million liters and at the rate of 20 paise per litre for the remainder payable by the purchase, and such tax shall be collected and paid in the prescribed manner to the State Government.) (2) If any tax payable under sub-section (1) is not paid within the time prescribed the prescribed authority may, in the lieu thereof, recover any sum not exceeding double the amount of the tax so unpaid, or any smaller sum above the amount of the tax. which such authority may think it reasonable to recover." 4. The effect of the amendment is that the tax is now levied on first sale of the motor spirit and diesel oil, and is payable by the dealer affecting such sale. Purchase and sale of motor spirit and diesel oil other than the first sale is not taxable under the Act. 5. The effect of the amendment is that the tax is now levied on first sale of the motor spirit and diesel oil, and is payable by the dealer affecting such sale. Purchase and sale of motor spirit and diesel oil other than the first sale is not taxable under the Act. 5. After creating liability to pay tax, the Legislature has further made provisions in the Act to ensue proper realisation of the tax and to present its evasion. In this connection reference may be made to Section 5, wherein provision has been made for registration of the dealer. and Section 6, which prohibits carrying on business by any person as a dealer without registration certificate. Sections 5 and 6, being relevant, are quoted below. "5. Registration of retail dealers and registration certificate - Every dealer shall, within three months of the commencement of the Uttar Pradesh Sales of Motor Spirit and Diesel Oil Taxation (Amendment) Ordinance, 1974 or where he starts business at any place after the commencement of the said Ordinance, then before starting business as a dealer, register himself as a dealer by making an application in the prescribed manner to the prescribed authority, and on such registration he shall be granted a registration certificate in such form and subject to such conditions as may be prescribed; Provided that the State Government or any Officer empowered by it under Section 9 may refuse to grant a registration certificate to a dealer if it or he has already cancelled or refused to renew a registration certificate previously granted to such dealer: Provided further that any registration certificate granted to a dealer under this Act before the commencement of the said Ordinance shall, notwithstanding anything here in before contained, continue to remain in force and be valid for the period for which it was granted. (2) Every registration certificate granted under sub-section (1) shall expire on the 31st day of March following the date of the grant and may be renewed annually. (3) Every registration certificate shall be granted or renewed for year or part thereof on payment of such fee not exceeding five hundred rupees as may be prescribed, and until fee is prescribed. the following fee shall be charged : Rs. 1. For sale of motor spirit 500 or diesel oil or both in depots by oil companies 500 2. (3) Every registration certificate shall be granted or renewed for year or part thereof on payment of such fee not exceeding five hundred rupees as may be prescribed, and until fee is prescribed. the following fee shall be charged : Rs. 1. For sale of motor spirit 500 or diesel oil or both in depots by oil companies 500 2. For sale of motor spirit 250 or diesel oil or both through pumps 250 3. For sale of motot spirit 50 or diesel oil or both in drums or tins by dealers other than those mentioned in I and 2 above 50 4. For sale of Acohol 50" "6. Prohibition of sale without registration certificate. - No person shall carry on business as a (dealer) in any district without holding a registration certificate under Section 5." 'Dealer' has been defined in Section 2(c), which is also extracted below. "2. (c) 'dealer' means any person or association of persons carrying on the business of buying. selling, supplying or distributing motor spirit or diesel Oil or alcohol or two or more of them, whether for commission, remuneration or otherwise, and includes any firm of Hindu undivided family and any society or club or any other association of person, which sells motor spirit, diesel oil or alcohol to its members, and also includes any department of the State Government or the Central Government which carries on such. business," 6. There are also provisions for search, seizure arrest and punishment with imprisonment or fine. or both for contravention of the provisions of Section 6, evasion of payment of tax, failure to supply requisite information and attempt to commit and abate the commission of the offences. All these provisions have been enacted in aid of the main power, namely, power to impose and collect the tax, conferred by the charging section. The object of these provisions is that those persons, who are liable to pay the tax by virtue of Section 3 should not carry on the business without obtaining the registration certificate under Section 5. It, therefore, follows that those, who owe no liability under Section 3 to pay the tax are not required to obtain registration certificate under Section 5 and the prohibition contained in Section 6 cannot apply to them. 7. It, therefore, follows that those, who owe no liability under Section 3 to pay the tax are not required to obtain registration certificate under Section 5 and the prohibition contained in Section 6 cannot apply to them. 7. The aim and object of the Act is not to regulate the trade and business of every person, who may he carrying on the business of buying and selling of motor spirit and diesel oil. As mentioned before, the object is to impose the tax on the first sale of motor spirit and diesel oil and the tax is payable by those, who affect such sale. Those, who do not make the first sale are not required to pay the tax and they cannot be compelled to get themselves registered under Section 5, and the prohibition contained in Section 5 cannot be extended to them. Otherwise the object of the Act will be extended and enlarged so as to include with in it the regulation of petroleum and petroleum products and the trade and business connected therewith, which cannot be done by the State of U.P. as the power to regulate the petroleum and petroleum products is conferred on the Union by Entry No. 53 of List 1 of the 7th Schedule of the Constitution of India, which is reproduced below : "53. - Regulation and development of oil fields and minerals resources, petroleum and petroleum products; other liquids and substances declared by parliament by law to be dangerously inflammable." 8. It is on this basis that a Division Bench of this Court in Writ Petition No. 20 of 1977, S.N. Srivastava and other v. State of U.P. and others. decided on 5-9-1979, has declared that the State Government cannot validly charge registration fee under Section 5(3) from the retail dealers in motor spirit and diesel oil, as the power to regulate petroleum and petroleum products belongs to the Central Government. 9. An interpretation, which makes the Act invalid is to be avoided. That apart, a statute should be interpreted and be understood in the sense, which effectuates the object of the Legislature. The object of the Act is not to regulate petroleum and petroleum products and the trading activities of the dealers unless they make the first sale of motor spirit and diesel oil. 10. Petitioners being the retail dealers. That apart, a statute should be interpreted and be understood in the sense, which effectuates the object of the Legislature. The object of the Act is not to regulate petroleum and petroleum products and the trading activities of the dealers unless they make the first sale of motor spirit and diesel oil. 10. Petitioners being the retail dealers. who purchase motor spirit and diesel oil from the petrol companies are not making the first sale. First sale, as mentioned above, is effected by the petroleum companies like Indian Oil Corporation and it is from these companies, that the tax on the sale of motor spirit and diesel oil is to he charged. In fact, the Government of Uttar Pradesh had earlier issued an order dated 28-6-1989 to the Excise Commissioner, U.P. informing him thereby that the right to regulate petroleum and petroleum products belongs to the Government of India under Entry No. 53 of List 1 of the 7th Schedule of the Constitution of India and by another order dated 16-7-1988 the Excise Commissioner was informed that as the tax is to be levied at first sale, the tax shall be charged from the petroleum companies only, but subsequently by the impugned orders the Government of U.P. has asked its officials not to permit any dealer to carry on the business of motor spirit and diesel oil unless they get themselves registered under Section 5. 11. For the reasons given above, the State Government cannot compel those persons, who do not affect the first sale of motor spirit and diesel oil,to get registration certificate under Section 5. The writ petition is accordingly allowed. Order dated 13-6-1990, 27-6-1990 and 2-7-1990, issued by the Government of U.P. District Excise Officer, Ghaziabad and Excise Inspector, Ghaziabad respectively are quashed. Respondents are restrained from compelling the petitioners to get themselves registered under Section 5. It is however, made clear that if the petroleum companies or any other person like them directly sells motor and diesel oil to the consumers through their petrol pumps or otherwise. Which being the first sale, such persons will be required to get registration certificate under Section 5. In view of the facts and circumstances of the case, there shall be no orders as to costs.