9911796707
TMI Blog1969 (1) TMI 57X X X X Extracts X X X X X X X X Extracts X X X X ..... buyer. So, under rule 38 of the Mysore Sales Tax Rules, the petitioner sought a rectification of the assessment since he was only a commission agent who sold chillies on behalf of his principals, and so could not be called upon to pay sales tax which had to be paid only by the purchaser to whom he sold the chillies. The assessing authority dismissed the application and the Deputy Commissioner dismissed the revision petition which was presented to him under section 21 of the Act. The appeal to the Sales Tax Appellate Tribunal was also dismissed. The Tribunal rested its decision on more than one ground. It was of the opinion that the revision petition presented to the Deputy Commissioner was not maintainable, since under the Act as it s ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ation overlooked the fact that the last date on which the revision petition should have been presented was a holiday and so the petitioner was entitled to present the revision petition on the next day as he did. So, we now proceed to consider the sustainability of the order made by the assessing authority on its merits. It is an admitted fact that the petitioner sold the chillies with which we are concerned as a commission agent of his principals. But the assessing authority was of the view that even so, the petitioner must be deemed to have in the first instance purchased the chillies belonging to his principals and that he must be further deemed to have sold those chillies to the persons to whom he sold them. In support of this conclusi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... r determined the turnover of chillies at Rs. 4,69,150 and levying the tax on the same has stated, 'I allow a lump sum of Rs. 2,50,000 representing such agency sales and disallow the balance of Rs. 4,69,150 as relating to independent transactions as the assessee has not credited the full realisation to principal's accounts. [Vide explanation 2(t) as per which the transactions are to be treated as independent only under such circumstances). In other aspects the return is accepted. No sales tax is collected.' * * *" This conclusion reached by the assessing authority is, it is clear, based upon an incorrect comprehension of the provisions of sub-clause (iii) of the 3rd explanation. Under that clause, a dichotomy of the sale by an agent on b ..... X X X X Extracts X X X X X X X X Extracts X X X X
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