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2022 (6) TMI 200 - HC - VAT and Sales TaxLevy of trade tax - service charge realized from the customers - Whether the Trade Tax Tribunal was legally justified in dismissingthe appeal in regard to the issue of levy of trade tax on the service charge realized from the customers when correct, factual and legal position was explained in the Written Argument? - HELD THAT:- The provisions of UP Trade Tax Act and the provisions of Tamil Nadu Sales Tax Act, are analogous. In view of the said fact, the order and judgement given in the case of M/s India Meters Limited (supra) is covers the issue as Hon’ble the Apex Court has held that any amount for which the goods are being sold in whatever names, so called, are liable to be included in the taxable turnover. The record further reveals that the revisionist while issuing the bills for the period up to December 2001 has issued various bills on which 10 % amount has been charged on the total bill under the head of service charge. The explanation submitted by the revisionist is that the said amount has been charged from the customers for distributing the same on the staff who rendered their services in the banquet and not to any other staff of hotel / restaurants and therefore it was not form part of taxable turn over as defined under the Act. In the case in hand, the provisions of UP Trade Tax Act is absolutely clear. The amount charged by the revisionist in whatever name called i.e. services rendered by their employee to the banquet as alleged, cannot be excluded from the taxable turnover. Revision dismissed.
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