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TMI Blog1952 (10) TMI 31X X X X Extracts X X X X X X X X Extracts X X X X ..... has sold to his customers during this period was Rs. 2,75,883-11-3 and that it is this figure which should have been treated as the taxable turnover by the Assistant Sales Tax Commissioner. The petitioner admits that in addition to this amount he received from the persons, who purchased various commodities from him, a total sum of Rs. 15,903-4-3, but he says that he received this amount on account of the sales tax which was payable by the purchasers with respect to the goods purchased by them. According to him, this amount cannot be added to the actual sale price received by him and treated as part of the taxable turnover. 3.. We may mention here that the figures given by the petitioner in his petition do not tally with those appearing in ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... t exceeded the taxable quantum shall be liable to pay tax in accordance with the provisions of this Act on all sales effected after the commencement of this Act." This section makes it clear that the tax is payable to the State by the dealer as defined in Section 2 (c) of the Act and by none else. This con- clusion is reinforced by reference to other provisions of the Act. In particular, we would refer to Section 5, which deals with the rate of tax and reads thus: " 5. (1), The tax payable by a dealer under this Act shall be levied on his taxable turnover at the rate of- (a) twelve pies in the rupee in relation to the classes of goods mentioned in Part I of Schedule I; (b) three pies in the rupee in relation to the classes of goods men- t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... h a dealer has received from his pur- chaser in respect of sales tax payable on the goods must also be regarded as part of the sale price. 7.. It is argued before us that even though a dealer is liable to pay sales tax under the law it is open to him to shift his liability to pay the tax on to the purchaser and that when he does that he cannot be asked to treat what he has collected in respect of tax as part of the sale price. There is no doubt that apart from the law of price control a vendor of goods is entitled to recover from his vendee any sum of money as the price of the goods sold by him to the vendee. It is also open to him to require of his vendee to pay to him a sum of money which, according to him, is equivalent to the tax paya ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... h reliance is placed by the learned counsel. 9.. In our opinion, the amount recovered by a dealer from his pur- chasers in respect of sales tax must under the definition of " sale price " be regarded as part thereof and that it has to be taken into account while arriving at a dealer's taxable turnover. A similar question arose before the High Court at Calcutta in Bata Shoe Co. v. Member, Board of Revenue(1). Section 2 (h) of the Bengal Finance (Sales Tax) Act, 1941, which defines "sale price", has been reproduced in the judgment. That provision appears to be identical with Section 2 (h) of the Central Pro- vinces and Berar Sales Tax Act, 1947. The learned Judges of the Calcutta High Court construed this definition in the same way as we ha ..... X X X X Extracts X X X X X X X X Extracts X X X X
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