9911796707
TMI Blog1981 (10) TMI 163X X X X Extracts X X X X X X X X Extracts X X X X ..... 974-75 the assessee was assessed to sales tax. The turnover determined by the assessing authority included transport charges which were separately charged by the assessee as against his customers. It was claimed by the assessee that he was entitled to a deduction in respect of such charges, in accordance with rule 6 of the Tamil Nadu General Sales Tax Rules, 1959. The assessing authority did not a ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... o merely transport charge at a fixed rate but when the contract is for the supply of the brick at the buyer's site, the transport charges incurred therein, though charged for separately, are to be taken as pre-sale charges liable to tax." The reasoning of the Tribunal seems to be that since the contract between the assessee and the customer was for delivery at the work-spot of the customer, the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... er, without including them in the price of the goods sold, the dealer would be entitled to a deduction in respect of such charges in the computation of his taxable turnover. There is, therefore, no meaning in the suggestion that the contract in this particular case was for delivery, not at the kiln-site but at the work-spot of the customer. The Tribunal has altogether misunderstood and misapplied ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ight paid with reference to particular consignments. In these circumstances, the learned Judges held that the assessee in that case was not entitled to a deduction under rule 6. In the course of their judgment they observed that the mere act of bifurcating the total consideration into so much for sale price and so much for transport charges would not meet with the requirements of rule 6. With this ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... r's site, but for delivery at the work-spot of the customer or other place designated by the customer. This, as we said, is not based on a proper understanding of the provisions of rule 6. In the result, this revision is allowed and the order passed by the Tribunal is set aside. There will be a direction to delete the transport charges from the taxable turnover. The assessee will have his costs ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
