9911796707
TMI Blog1976 (3) TMI 90X X X X Extracts X X X X X X X X Extracts X X X X ..... al and taxable sales as second sales of iron and steel and hence not taxable. The assessing authority noticed with reference to the purchase vouchers that some of the purchases were purchases of multipoint goods. The details of relevant purchases are as under :-- 12279/25-7-73 Soughern Conduits, M.S. Fabricated Centrering Sheets-143 Nos. 4,818.29 2300/73-74 Cartage. 45.00 25-1-1974 Tansi Fabrication/Centering 56 Nos. works Palni (sales tax 3 /2% charged) 23,975.80 Nil/25-2-74 Murray & Co., Madras-1. Cover sheets (Accounting 1 MP) 20 tons. 94,600.00 . . 1,23,384.09 Considering them as purchases of multi-point goods, he added 34.4 per cent which was the average gross profit as per accounts to arrive at the taxable sales of Rs. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ops, strips and skelp etc. mentioned in sub item (vi). A reading of all these sub-entries show that the sub-item deal with the various items of raw steel goods. There is no reference to fabricated items in any of the 16 sub items. If we are to accept the appellants plea, we are afraid that we would be stretching the scope of entries too much. It is well established the not all items of hardware and other finished goods made out of iron and steel would all under this entry. It is unnecessary to go into the full scope of the entry for the purposes of the present appeal. We are satisfied that "M.S. Fabricated Centering Sheets" sold by the appellant is an iron and steel product and not steel itself. It does not fall under entry 4 of the Second ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... be liable to tax. 6. In the view, we have taken, the appellant will be liable to tax only on sale value of purchase of Rs. 28,839.09 mentioned in para 4 supra. the sale value thereof is Rs. 38,759.74 after adding 34.4 per cent for profit on purchase value. The learned counsel claimed that not all the purchases were resold during the same year. But the extent of stock thereon is not clearly established and we do not think that it is necessary to make any adjustment on the same. However, in respect of purchases from Murray & Co. it is known that only less than 1/3rd of that purchased goods had been sold during the year. Adjustment might have been necessary if such goods were liable to tax on resale. Since it is not liable to tax under resale ..... X X X X Extracts X X X X X X X X Extracts X X X X
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