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TMI Blog1991 (1) TMI 393X X X X Extracts X X X X X X X X Extracts X X X X ..... the turnover pertaining to purchase of gold ornaments relying upon the notification issued by the Government in that regard. That tax on purchase is levied under section 6 of the Act but by virtue of the notification issued by the Government, regarding which there was no dispute, the said turnover was excluded. The assessing authority by its order dated October 27, 1977, assessed the appellant to a total tax of Rs. 37,810.61 after holding that the total turnover of the appellant as Rs. 9,46,073. Subsequently, the assessing authority initiated proceedings under section 12-A of the Act proposing to levy tax under section 6-B of the Act on the ground that the total turnover of the appellant exceeded Rs. 10 lakhs and for the purpose of the said ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the Act, as was in force during the relevant period, the liability to pay the additional tax arises only if the dealer is liable to pay the tax either under section 5 or section 6 of the Act and if a dealer is not liable to pay tax under section 6 then the said turnover under section 6 will have to be excluded. The learned counsel pointed out that under section 6-B, what is levied is an additional tax which itself indicates that it is a tax in addition to normal tax payable by the dealer under section 5 or section 6 of the Act. 4.. The relevant part of section 6-B(1) reads thus: "Section 6-B. Levy of additional tax.-(1) There shall be levied and collected from every dealer liable to pay tax under section 5 or under section 6 and whose t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... er that attracts levy. The contention of Mr. Katageri is that, only the turnover which is taxed under section 5 or under section 6 that should be considered for the purpose of levy under section 6-B, which will be restricting the language of section 6-B. A reading of section 6-B as it then stood in no way conveys the idea sought to be conveyed by Mr. Katageri. The contention of Mr. Katageri, if it has to be accepted, we will have to read the phrase "turnover" under section 6-B as taxable turnover. If the intention of the Legislature was to consider only the taxable turnover either under section 5 or under section 6 as the basis for levy under section 6-B the Legislature would have stated so in clear terms. Two decisions of this Court were c ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... elf is not payable then question of levying additional tax does not arise. This decision depended upon the language of the Finance Act, 1949 and to establish the principle urged, this decision cannot be of any help to Mr. Katageri. 6.. The words "total turnover" and "taxable turnover" are defined as per section 2(u-2) and 2(u-1) respectively. While total turnover means the aggregate turnover in all goods of a dealer, etc., the taxable turnover means the turnover on which a dealer shall be liable to pay tax as determined after making certain deductions from his total turnover. These ideas are sought to be enumerated by rule 6 of the Karnataka Sales Tax Rules which has been referred to and relied on by the Commissioner in the instant case. ..... X X X X Extracts X X X X X X X X Extracts X X X X
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