9911796707
TMI Blog1997 (9) TMI 565X X X X Extracts X X X X X X X X Extracts X X X X ..... is stated to be a partnership firm carrying on business in purchase and sale of groundnut seeds. In the course of its business the assessee, it is said, sold the kernels purchased locally and also to the dealers outside the State in the course of inter-State trade or commerce. 3.. The disputed turnover in respect of inter-State sales is to the tune of Rs. 28,35,575 taxable at three per cent and the tax due is Rs. 85,067. In respect of the said turnover, it is found, that the sellers, from whom the assessee-dealer effected purchases of groundnut kernels, were either non-existing or were dealers, who misused the certificate of registration of other dealers in effecting their sales of groundnut. 4.. The Deputy Commercial Tax Officer, Peddu ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nable him to get exemption of tax under the CST Act? 8.. The point: There is no bale of controversy that the groundnut kernel is a declared goods, figuring as S. No. 6 in the Second Schedule containing declared goods in respect of which single point tax only is leviable under section 4 of the Tamil Nadu General Sales Tax Act, 1959 (Tamil Nadu Act No. 1 of 1959-for short, TNGST Act ). 9(A). Section 8 of the CST Act deals with rates of tax on sales in the course of inter-State trade or commerce. Sub-section (5) thereof reads as under: Notwithstanding anything contained in this section, the State Government may, if it is satisfied that it is necessary so to do in the public interest, by notification in the Official Gazette, and subject ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the following restrictions and conditions, namely: (a) the tax payable under that law in respect of any sale or purchase of such goods inside the State shall not exceed four per cent of the sale or purchase price thereof, and such tax shall not be levied at more than one stage; (b) where a tax has been levied under that law in respect of the sale or purchase inside the State of any declared goods and such goods are sold in the course of inter-State trade or commerce, and tax has been paid under this Act in respect of the sale of such goods in the course of inter-State trade or commerce, the tax levied under such law shall be reimbursed to the person making such sale in the course of inter-State trade or commerce in such manner and ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... red goods-that is to say, groundnut kernel-has to necessarily prove that he has suffered tax, at the hands of the department, in the sense of the tax having been levied and collected in respect of such declared goods. Thus, the burden slides on the shoulder of the assessee-dealer to prove that the tax in respect of such declared goods had been levied and collected at the hands of his sellers, before ever, the assessee-dealer is entitled to claim exemption in respect of interState sales of such declared goods effected by him. 12.. The moot question, in the instant case, is as to whether the assesseedealer has discharged the burden so cast on his shoulders. The answer to such a question, on the facts and in the circumstances of the case, ca ..... X X X X Extracts X X X X X X X X Extracts X X X X
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