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TMI Blog2025 (2) TMI 942X X X X Extracts X X X X X X X X Extracts X X X X ..... sion signals under the DTH scheme. The transaction would obviously include both entertainment and service. Since both are discernible independent of each other, they are taxable separately; the entertainment is taxed under the provisions of 1958 Act whereas, the service is taxed under the provisions of Finance Act, 1994. The text, content & intent of section 4G leaves no manner of doubt that for the purpose of levy of entertainment tax, the 'amount received or receivable' cannot include service tax component. Had the legislature intended inclusion, the text of this provision would have been a bit different. Therefore, the first question of law is answered in the negative and in favour of the Assessee. The above view gains support from the decision of Apex Court in M/s Anand Swarup Mahesh Kumar vs. Commissioner Of Sales Tax [1980 (9) TMI 238 - SUPREME COURT] wherein, Assessee therein had argued that the market fee payable under the UP Krishi Utpadan Mandi Adhiniyam, 1964 being a sum which could be collected from the purchaser under the provisions of the said statute by the commission agent for being remitted to the market committee, could not be considered as forming part of the co ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Advocate A/W Sri. Anees Ahmed., Advocate). For the Respondents: (By Sri. Aditya Vikram Bhat., AGA). CAV ORDER (PER: HON'BLE MR JUSTICE KRISHNA S DIXIT) 1. Assessee is invoking revisional jurisdiction of this court u/s. 8F of the Karnataka Entertainment Tax Act, 1958 for laying a challenge to Karnataka Appellate Tribunal's order dated 29.07.2022 whereby its appeals in STA Nos. 1916-1954 of 2014 having been negatived, the appellate order made by the authorities have been upheld. 2. BRIEF FACTS OF THE CASE: 2.1 Assessee is a Direct to Home (DTH) entertainment service provider in terms of DTH License dated 16.09.2003 w.e.f. October 2003. The DTH services are being provided under the brand name 'Dish TV'. The short grievance of the Assessee is inclusion of service tax component in the 'amount received or receivable' while levying entertainment tax, in terms of Sec. 4G of the Act. 2.2 The authorities did not agree with the Assessee that the service tax component cannot be included while computing the amount received or receivable whilst levying entertainment tax. His appeals to the Tribunal against the same came to be rejected by the common order. That is how this Revisi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s. 4.2 SUBMISSION MADE ON BEHALF OF THE REVENUE: (i) Learned AGA appearing for the respondents resisted the petition making submission in justification of the impugned orders contending that the text of Sec. 4G is as clear as Gangetic waters and therefore does not admit any interpretation other than literal and that the construction placed by the Assessee on the said provision is incorrect. (ii) Section 3 and Section 4G of the Act have different terminologies and, that difference makes the maxim expressio unius est exclusio alterius applicable and therefore while computing the amounts received or receivable, service tax component cannot be excluded. (iii) The contention of Assessee that levy of tax on tax is unconstitutional, does not have jurisprudential support. He gave the example of cess being levied on income tax and such other taxes, to buttress his point. 5. Having heard the learned counsel for the parties and having perused the Petition Papers, we are inclined to interfere in the matter as under and for the following reasons: 5.1 The 1958 Act is more a consolidating and amending legislation, necessitated by the integration of the State of Karnataka under the St ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e therein had argued that the market fee payable under the UP Krishi Utpadan Mandi Adhiniyam, 1964 being a sum which could be collected from the purchaser under the provisions of the said statute by the commission agent for being remitted to the market committee, could not be considered as forming part of the consideration payable by the purchaser of the goods to the commission agent and therefore, it could not be included in the 'turnover of purchases' for the purpose of levy of tax under section 3-D of the UP Sales Tax Act, 1948. The Apex Court at para 13 observed as under: "where a dealer is authorised by law to pass on any tax payable by him on the transaction of sale to the purchaser, such tax does not form part of the consideration for purposes of levy of tax on sales or purchases but where there is no statutory provision authorising the dealer to pass on the tax to the purchaser, such tax does form part of the consideration when he includes it in the price and realizes the same from the purchaser. The essential factor which distinguishes the former class of cases from the latter class is the existence of a statutory provision authorising a dealer to recover the tax payable ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... o inconsistency or injustice..." Therefore, much support cannot be drawn from the text of section 3 of the Act for invoking the maxim. Added, in construing fiscal statutes, an interpretation which does not follow from the plain, unambiguous language, is impermissible. Words cannot be added to or substituted so as to give a meaning to the statute which will serve the spirit & intention of the legislature. The statute should clearly and unambiguously convey the three components of the tax law i.e., the subject of the tax, the person who is liable to pay the tax and the rate at which the tax is to be paid. If there is any ambiguity regarding any of these postulates in a taxation statute, that would enure to the benefit of the Assessee subject to all just exceptions. 5.6 The last contention of the Assessee is that the invoice issued by it to each of the customers every time was reflected in the records produced before the authorities, cannot be summarily rejected. Abundant evidentiary material is produced even in the paper book of the petition. The Assessee had placed before the authorities the Statement of Account showing itemized billing and separate collection of service tax amou ..... X X X X Extracts X X X X X X X X Extracts X X X X
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