TMI Blog2010 (9) TMI 977X X X X Extracts X X X X X X X X Extracts X X X X ..... o clearly indicates that as per the arrangement made between the parties, freight and trade tax was required to be charged separately. Consequently, the assessing authority committed a manifest error in rejecting the certificate and including the trade tax as well as the freight charges in the turnover. Thus the assessee was entitled for exemption of freight and trade tax in its turnover. Appeal allowed. - 21 of 2009 - - - Dated:- 22-9-2010 - TARUN AGARWALA AND BIST V.K. , JJ. Heard Sri M.L. Agarwal, the learned counsel for the applicant/revisionist and Sri K.P. Upadhyay, Additional Chief Standing Counsel for the respondent. The present trade tax revision relates to the assessment years 1998-99 (State) and 1999-2000 (State). For ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... g authority and, on that basis, exemption from the turnover was granted to the revisionist in the said assessment year. Since then, the revisionist is being granted exemption in its turnover in the subsequent years. However, for the assessment years in question, the assessing authority changed its opinion and included freight and sales tax in the turnover. The only question which arises for consideration in this revision is with regard to the tax liability on a dealer with regard to freight charges and trade tax. The revisionist has relied upon the definition of section 2(i), Explanation II(i) of the U. P. Trade Tax Act, 1948 which defines turnover as under: (i) the amount for which goods are sold or purchased shall include the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... price which was inclusive of trade tax and freight charges. In our opinion, the assessing authority has committed a manifest error in presuming certain events hypothetically, which is not based on any document on record. The record clearly suggests, namely, the bills, that the price of goods was charged separately and that the trade tax and the freight charges were charged separately. This was the best evidence which could not be ignored by the assessing authority. There is no agreement between the parties except the offer made by the purchaser and the certificate issued by the purchaser which also clearly indicates that as per the arrangement made between the parties, freight and trade tax was required to be charged separately. Conseque ..... X X X X Extracts X X X X X X X X Extracts X X X X
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