9911796707
TMI Blog1995 (11) TMI 391X X X X Extracts X X X X X X X X Extracts X X X X ..... f the Karnataka Sales Tax Act, 1957 (for short, "the Act"). The notification provides for reduction of tax payable by a dealer under section 5 of the Act on the sale of handmade washing soap manufactured by it to 4 per cent provided the total turnover of any such dealer in a year does not exceed rupees ten lakhs. The total turnover of the appellant for the relevant assessment year was Rs. 13,21,182.11. 2. On January 21, 1988, the Commercial Tax Officer, V Circle, Hubli, served notice on the appellant under section 12A of the Act informing that the assessment order dated October 20, 1986 is not correct as the total turnover of the appellant exceeded rupees ten lakhs. The appellant was called upon to show cause why the assessment order sh ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... n Bench held that in view of the notification it is clear that the expression "total turnover" is meant to include the turnover in respect of handmade washing soaps and of goods other than handmade washing soaps. It was further held that to construe the notification in any other manner would be to render the word "total" in the expression "total turnover" otiose and that is not permissible. The learned counsel, with reference to paragraph 18 of the judgment (at page 407 of STC), submitted that the Division Bench was not dealing with the case where the assessee had sought the relief of quashing the expression "total" in the notification and that is the prayer now made by the appellant in the present proceedings. Learned counsel submitted tha ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ax Act, 1958. The State Government exempted payment of tax on the sale of goods set out in the Schedule. The exemption was available provided the dealer deals exclusively in footwear made of rubber and/or plastic and the sale price of such footwear does not exceed rupees ten per pair. The dealer filed petition claiming that there is no nexus with the purpose sought to be achieved in the use of the word "exclusively". The Revenue on the other hand submitted that the grant of exemption is a matter of policy decision to be taken by the State Government and can be availed of only in the manner specified in the notification. The Division Bench proceeded to grant relief sought by the dealer by observing that the purpose of granting exemption wa ..... X X X X Extracts X X X X X X X X Extracts X X X X
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