TMI Blog2004 (7) TMI 341X X X X Extracts X X X X X X X X Extracts X X X X ..... rded by the taxing authorities and the High Court is that the assessee had received the payment of the price for the parts supplied to customers.That being so, the transaction was subject to levy of tax as has been rightly held by the High Court. - Civil Appeal No. 9618, 9619 of 2003, - - - Dated:- 21-7-2004 - VARIAVA S.N. AND ARIJIT PASAYAT JJ. Punit Dutt Tyagi, Advocate, for the respondent. Dhruv Agarwal and Praveen Kumar, Advocates, for the appellant. -------------------------------------------------- The judgment of the Court was delivered by ARIJIT PASAYAT, J.- These two appeals relate to a common judgment rendered by a learned single Judge of the Allahabad High Court. The appellant (hereinafter referred ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... re questioned before the Commissioner (Appeal), Varanasi, who upheld the assessments by common order dated June 20, 2001. The matter was carried in appeal before the Trade Tax Tribunal, Varanasi (in short "the Tribunal") by the assessee which placed reliance on certain decisions of different High Courts and came to hold that there was no sale. The matter was carried in revision by Revenue before the Allahabad High Court. The High Court set aside the order of the Tribunal and held that the transactions constituted sale attracting levy of tax. 4.. In support of the appeals, learned counsel submitted that the position in law is no longer res integra. In Premier Automobiles Ltd. v. Union of India [1972] 2 SCR 526, it was clearly held that t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... les Ltd. case [1972] 2 SCR 526, is really of no assistance to the assessee. The fact-situation there was different. The issues in the said case were different. One of the issues was whether the expenses on account of warranty and statutory bonus were to be excludable while working out the ex-work cost. It was held by this Court that manufacturers furnish warranty covering the cars sold. Under the warranty all defects on account of faulty manufacture have to be set right and the defective parts have to be replaced free of costs by the manufacturer or his dealer within the specified period or given distance travelled by the car. The car manufacturers enter into an agreement with the manufacturers of components providing for a warranty so far ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d had received the price. The categorical factual finding recorded by the taxing authorities and the High Court is that the assessee had received the payment of the price for the parts supplied to customers. That being so, the transaction was subject to levy of tax as has been rightly held by the High Court. The decisions in Geo Motor's case [2001] 122 STC 285 (Ker) and Prem Motor's case [1986] 61 STC 244 (MP), stand overruled. 7.. However, learned counsel for the assessee submitted that even if it is conceded for the sake of arguments that the transactions attracted levy of sales tax, no categorical finding has been recorded about the nature of the sale, i.e., whether it is intra-State or inter- State in character. It was submitted tha ..... X X X X Extracts X X X X X X X X Extracts X X X X
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