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TMI Blog1999 (1) TMI 507X X X X Extracts X X X X X X X X Extracts X X X X ..... security is the sale consideration. The assessee has filed the present petitions to challenge the impugned orders. 2.. According to the provisions of the Punjab General Sales Tax Act, 1948 the taxable event is the sale . According to section 2(h) (as it stood prior to amendment), sale means any transfer of property in goods other than goods specified in Schedule C for cash, deferred payment or other valuable consideration . Thus, the only issue that arises for consideration is-does the property in the goods-cylinders and regulators in the present case, pass to the consumer when the Corporation accepts a deposit? 3.. To answer this question, it is essential to refer to the terms of the agreement which every consumer has to execute at ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... y way of illustration, it has been pointed out that during the year 1988-89, the Corporation had purchased cylinders at Rs. 510 each. However, the consumer was required to deposit only Rs. 450 by way of security. This rate of deposit continued and remained in force till the year 1993-94 by which time the cost price of the cylinder had risen from Rs. 510 to Rs. 750. Besides this, it has also been averred categorically that the cylinders are the assets of the Corporation for which it has been regularly providing for depreciation which was permissible and allowed under the Income-tax Act, 1961. Can we still say that the Corporation is not the owner of the cylinders? 6.. It is common knowledge that when a consumer gets his cylinder, he is ent ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... rovision or to sub-clause (iv) of clause (h) of section 2. In this situation, we cannot accept the contention that the assessment orders are valid. These are based on the finding that there was transfer of property in the goods. Factually, it is not so. Legally, the order of assessment cannot be sustained. 9.. Faced with this situation, learned counsel for the respondents contended that the matter should be remitted to the Assessing Authority. We do not think it is necessary for us to do so. We shall only set aside the order. It is, however, clarified that in case, the Assessing Authority is legally entitled to do so, it shall be competent to pass fresh orders in accordance with law. 10.. No other point has been raised. 11.. In view o ..... X X X X Extracts X X X X X X X X Extracts X X X X
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