9911796707
TMI Blog1992 (1) TMI 320X X X X Extracts X X X X X X X X Extracts X X X X ..... the transport of rectified spirit and recovered through separate debit notes be treated as turnover liable to sales tax under the Andhra Pradesh General Sales Tax Act, 1957? 2.. Whether the Tribunal is justified in holding that the transport charges which are assessed as part of the sale price of rectified spirit as the sale price is split-up and billed as transport and handling charges for molasses which were recovered from the purchasers separately? 3.. Whether the Tribunal is correct in law in holding that this amount represents the expenditure incurred by the appellant prior to the sale but passed on to the purchaser as a separate item? 4.. Whether pre-sale expenditure even if it is incurred on behalf of the purchasers and recover ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s inclusion in the taxable turnover for the said assessment years. The Tribunal held as follows: "On verification of the records by us, it is seen that the assessing authority himself has stated that the head of account is 'molasses transport and handling charges' and not transport charges of rectified spirit to the customers. We have verified all the vouchers and the ledger and it is clear that the said head of account is what is collected from the customers as the transport charges incurred for molasses and handling charges and not what is paid for transporting the rectified spirit. In spite of our questioning to show us any account or voucher indicating that any lorry hire was incurred by the appellant for transport of rectified spirit ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... hat at least the handling charges which are only post sale expenditure ought to have been deducted. We find that actually the filling is done by mechanical process and only the regular workers operate the said pump, and there is no other handling charges involved in loading the goods into the lorry of the purchaser, and that loading is done by the employees and not by any independent workers employed therefor, and there is no account maintained for any such handling charges. As rule 6(g) requires that there must be proof of service rendered in connection with the packing of goods and they should be specified and charged by the dealer separately, then alone the exemption is to be granted. As there is no packing involved herein and it is only ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... spirit sold to them was produced, the said charges cannot be treated as sale price of the rectified spirit purchased by the customers and therefore cannot be included in the taxable turnover of the assessee. He also ventures to advance the argument that the molasses were transported at the instance of the customers. This is an argument of despair and no factual basis whatsoever is made out. The counsel for the assessee has not been able to produce before us any provision of law under which molasses can be allotted to the purchasers of rectified spirit for the purpose of having it converted as rectified spirit by the distilleries. It is not disputed that molasses is a controlled commodity and that its issue by the Molasses Controller is gov ..... X X X X Extracts X X X X X X X X Extracts X X X X
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