TMI Blog1986 (4) TMI 321X X X X Extracts X X X X X X X X Extracts X X X X ..... t the relevant time. Thus the High Court is plainly right in maintaining the sales tax assessment on the turnover of the surplus copies of newspapers sold as waste paper. - Civil Appeal No. 1633 (NT) of 1974 - - - Dated:- 2-4-1986 - PATHAK R.S. AND SABYASACHI MUKHARJI JJ. S. Padmanabhan, Senior Advocate (A.V. Rangan, Advocate, with him), for the respondent. S.T. Desai, Senior Adv ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the Tamil Nadu General Sales Tax Act, 1959. In appeal before the Appellate Assistant Commissioner of Commercial Taxes, the appellant-dealer claimed that it was not carrying on the business of selling old newspapers and, therefore, it could not be assessed to tax on such turnover. The Appellate Assistant Commissioner rejected the contention and held that the sales were taxable as the transaction ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... rred in this connection to the application for registration made by the appellant under the Tamil Nadu General Sales Tax Act in which the appellant had clearly stated that it was carrying on business in old and unsold newspapers. It observed that the transactions of sale could be regarded as an ancillary business connected with the main business of printing and publishing newspapers. In this app ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... rinted in them. It will be noted that the surplus copies are sold by weight and not per copy. What is exempt from sales tax is the turnover of newspapers and not the turnover of old newspapers or waste paper. It is also clear from the material on the record that the transactions of sale of the surplus copies must be regarded as a business carried on by the appellant. It was an activity which he ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ns of this Court in State of Gujarat v. Raipur Manufacturing Co. Ltd. [1967] 19 STC 1 and State of Tamil Nadu v. Burmah Shell Oil Storage and Distributing Co. of India Ltd. [1973] 31 STC 426. Having regard to the state of the law at the relevant time, these decisions do not, in our opinion, assist the appellant. In the result, the appeal fails and is dismissed but without any order as to costs ..... X X X X Extracts X X X X X X X X Extracts X X X X
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