9911796707
TMI Blog1973 (1) TMI 88X X X X Extracts X X X X X X X X Extracts X X X X ..... ales tax at the rate of 3 per cent. The petitioner paid that amount too. In the agreement between the Government and the petitioner, there was a provision that the petitioner should supply 780 tons of firewood out of the tree-growth to some fair price shops at Trichur at a specified price per ton. The petitioner supplied that firewood as well. Subsequently, the Sales Tax Officer assessed the petitioner on the sales of firewood by him. (The turnover fixed by the Sales Tax Officer on this occasion was also on the best judgment principle.) And this turnover of firewood was sought to be assessed under head 55 of Schedule I to the Kerala General Sales Tax Act at the reduced rate of one per cent. Two objections were raised by the petitioner bef ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... r-cane in a particular area is purchased, and the sugar-cane is cut and sold. In our opinion, the purchase of the sugar-cane in the particular area cannot be of a different commodity different from the sugar-cane cut and removed from the area. We are certainly aware of a case where the cane is cut, the juice out of it is taken and candy is prepared out of it and sold; in such a case, the sugar candy is certainly another commodity different from the sugar-cane, and the candy can be separately taxed. Still, there is no justification for making a distinction between the sugar-cane standing in an area and the sugar-cane cut and sold from there as two separate commodities; they are not two different commodities; what is purchased is sugar-cane, ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... urnover of sales of firewood coming under head 55 of Schedule I cannot be allowed; what is sought to be done in this case is to tax over again a portion of the turnover which was already taxed-and that at a higher rate. Thus, there is inequity writ large in the assessment sought to be made. We may point out here that even if the contention of the Government Pleader that forest-growth, timber and firewood are three different commodities is accepted, still the assessment cannot be sustained. What the petitioner was liable to pay was tax on his sales of timber and firewood; all his sales were treated as sales of timber and taxed as timber at a higher rate (in fact, part of the sales was of firewood); the sales of firewood which were treated as ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
