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TMI Blog2015 (4) TMI 123X X X X Extracts X X X X X X X X Extracts X X X X ..... at is available, as an option, to a dealer producing granite metals with the aid of mechanized crushing machines. It is optional in the sense that there is nothing preventing a dealer from paying tax, as per the normal method, in terms of Section 6 of the Act. The precondition for payment of tax at compounded rates is that the dealer is obliged to reckon the primary crushers and the secondary crushers which he employs in the business of producing granite metals while paying tax at the compounded rate. As per the scheme of S.8 therefore, the mere fact that the petitioner dealer has two separate units with varying numbers of crushers in them will not be of any significance since the computation of tax under the provision is not with refer ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... f discretion by the 3rd respondent cannot be said to be either arbitrary or illegal. - Decided against the assessee. - WP(C). No. 4847 of 2010 (E) - - - Dated:- 16-9-2014 - A. K. Jayasankaran Nambiar,JJ. JUDGMENT The petitioner is a registered partnership firm engaged in various businesses, including a business in granite metal through the operation of two granite crushing units. The units in question namely, Kottiyoor Metals and K.K. Granite Industry, are said to be located 30 Kms. apart. The former unit employs one primary crusher and two secondary crushers whereas the latter unit employs only one secondary crusher. The issue in the present writ petition involves the construction to be placed on Section 8(b) of the Kerala V ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of compounded tax, and the rate applicable to primary crushers shall be at fifty per cent of the aggregate of the tax payable on secondary crushers.] 2. It is the case of the petitioner that insofar as the 2nd unit namely K.K.Granite Industry employs only one secondary crusher, the tax to be paid by him in respect of the said unit must only be with reference to the amounts prescribed under the Section for secondary crusher and without referring to the secondary crushers that are employed in the other unit namely Kottiyoor Metals. Further, when it comes to the payment of tax in respect of the primary crusher that is employed by the petitioner in Kottiyoor Metals, the computation of tax under Section 8(b) for the primary crusher must be ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ces of business of the petitioner as separate units for the purposes of the Act with the exception of the two granite crushing units which he treated as a single unit for the purposes of the Act. The contention of the petitioner while impugning Ext.P11 order of the 3rd respondent is that it was not open to the 3rd respondent to accede to the request of the petitioner for treating these different places of business as separate units in a partial manner and he had either to treat all the places of business as separate units or to reject the request of the petitioner under Section 20(3). It is the further case of the petitioner that if the two Granite crushing units of the petitioner are also treated as separate units for the purposes of Secti ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Bar, I am of the view that the writ petition must fail. The provisions of Section 8(b) clearly indicate that the facility to pay tax at compounded rates is one that is available, as an option, to a dealer producing granite metals with the aid of mechanized crushing machines. It is optional in the sense that there is nothing preventing a dealer from paying tax, as per the normal method, in terms of Section 6 of the Act. The precondition for payment of tax at compounded rates is that the dealer is obliged to reckon the primary crushers and the secondary crushers which he employs in the business of producing granite metals while paying tax at the compounded rate. As per the scheme of S.8 therefore, the mere fact that the petitioner dealer has ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... laces of business as separate units, then all the provisions of the Act regarding registration, filing of returns, assessment and collection of tax shall apply, as if each of such places of business where separate units excepting for the purposes of considering the eligibility for payment of tax under Sub Section (5) of Section 6. In the instant case, while the petitioner had preferred an application under Section 20(3) for treating the various places of his business as separate units, the 3rd respondent acceded to the request of the petitioner with regard to the different businesses carried on by the petitioner, save the granite metal business, by treating those premises as separate units. When it came to the granite metal business carried ..... X X X X Extracts X X X X X X X X Extracts X X X X
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