1974 (10) TMI 86

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..... er also-failed. There was a further appeal to the Sales Tax Appellate Tribunal. Before the Tribunal, it was contended by the assessee that the watches and pens, which were the subjectmatter of his sales, had been sold by Murray Co., as auctioneers, on behalf of the customs authorities, that the said auctioneers have themselves collected sales tax from him and that, therefore, the auctioneers should be taken to be earlier sellers. It was further contended that in any event the goods having been sold by the customs authorities, through their auctioneers, Murray Co., the customs department should be taken to be the first sellers of goods within the State. In fact, the assessee's contention was that his sales were not liable to be taxed as .....

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..... Act. However, on the facts we are not in a position to accept the contention of the learned counsel that the auctioneers in this case can be taken to be dealers as defined in the Act. The Appellate Assistant Commissioner has factually found that the auctioneers merely brought the seller and the buyer together and they had no dominion over or possession of the goods, which they auctioned. As there was a concession before the Tribunal that the auctioneers were not dealers as defined in the Act, the Tribunal did not think it necessary to consider the factual position. But the facts as found by the appellate authority show that the auctioneers had neither dominion over, nor possession of, the watches and pens, which they auctioned at the insta .....

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..... a dealer came up for consideration. This court held that the customs department cannot be said to be a dealer as defined in the Act and that the sale by a dealer of goods purchased at the auction held by the customs department will be the first sale by a dealer. With respect we agree with the conclusion arrived at in that case. Therefore, the contention of the learned counsel that the customs department should be taken to be a dealer has to be rejected. Thirdly, it is urged by the learned counsel that the assessee's sale is not factually the first sale in the State, that it is the sale by the customs department which is factually the first sale within the State and that the requirement that there should be an anterior sale in the State by .....

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