1969 (12) TMI 92 - SC - VAT and Sales Tax

Whether the supplies can be considered as sales under entry 54 of List II of the Seventh Schedule to the Constitution? Held that - Appeal dismissed. The contention of the appellant relating to the inclusion of the excise duty in the total turnover is essentially a question that should have been urged before the appellate authority. The appellate authority is competent to go into questions of fact as well as of law. In particular the contention of the appellant that the department is estopped from including the excise duty paid in the total turnover is one that should have been appropriately taken before the appellate authority.

Summary

The Supreme Court dismissed the appeal regarding the liability of the appellant to pay sales tax for transactions made in the years 1959-1963. The appellant was the selling agent of the State Trading Corporation of India and contested that the supplies made were not "sales" due to certain orders. The Court held that the appellant should have appealed the assessments under the Mysore Sales Tax Act instead of approaching the High Court. The appeals were dismissed, and the appellant was given the opportunity to file appeals against the assessment orders within one month. No costs were awarded.