9911796707
TMI Blog2016 (10) TMI 660X X X X Extracts X X X X X X X X Extracts X X X X ..... the market fee paid in the taxable turn over of the petitioner for the assessment year 1999-2000. The petitioner is the firm engaged in the manufacture of groundnut oil and vegetable oil and registered as a dealer on the file of the respondent. The petitioner has been regularly purchasing ground nuts for manufacturing oil from the agriculturists. The petitioner is also a licensee under the Tamil Nadu Agricultural Produce Marketing Regulation Act, 1987 having valid permit for bringing the purchased ground nuts within the notified area from the agriculturists, after paying requisite market fee for the total purchase turn over every day, as per Section 24 of the 1987 Act. 3.The petitioner's contention is that the market fee or cess which ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 2016, the Court passed the following order: "The learned counsel for the petitioner submitted that the legal issue raised in this writ petition is as to whether the 'Cess' paid by the petitioner to the Market committee could be included in the total and taxable turnover of the petitioner, who is a purchaser of the products, which are made available for sale in a regular market, which is administered by a Market Committee under the provisions of the Tamil Nadu Agricultural Produce Marketing Regulation Act, 1987. 2.The Division Bench of this Court has held that the Market Committee is a Tahsildar. The learned counsel referred to the decision of this Court in 29 STC 1 and the decision of the Punjab and Haryana High Court in 91 STC ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... l Sales Tax Act, 1948. Answering the question, the Hon'ble Division Bench had observed as follows: "Held, that Section 23 of the Punjab Agricultural Produce Markets Act, 1961 and rule 29(2) of the Rules framed thereunder make it clear that the liability to pay market fee is of the buyer (purchaser). If the buyer is a licensee in the same market area, it is he who is to deposit the market fee with the market committee concerned. If the buyer is not a licensee in that market committee area then it is the seller who is to deposit the amount of the market fee, with that market committee and he may realise the same from the buyer. This would show that it is the legal d ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... purchase tax was to be paid by the petitioners." 7.In the case of Cauvery Sugars and Chemicals Ltd., and Others v. The Joint Commercial Tax Officer, Esplanade I, Madras and Another reported in Vol 29 STC Page 1, the Hon'ble Division Bench considered what is turn over as defined under Section 2(r) of the Madras General Sales Tax Act, 1959 and it was pointed out that the turn over is totality of price paid as consideration for each transaction of sale or purchase. The question which arose was whether the cess paid by the buyer form part of the purchase turn over? 8.On considering the facts of the said case and the relevant enactment namely, Madras Sugar Factories Control Act, 1949, the nature and incidence of cess was not intended to fo ..... X X X X Extracts X X X X X X X X Extracts X X X X
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