TMI Blog1960 (7) TMI 50X X X X Extracts X X X X X X X X Extracts X X X X ..... at date sold to assessable dealers in the State. The appeal against the aforesaid claim being disallowed was filed before the Appellate Assistant Commissioner of Agricultural Income-tax and Sales Tax, Kottayam; but the petitioner failed. The further appeal before the Sales Tax Appellate Tribunal has also been disallowed. Therefore the legal issue raised in the revision petition is "whether the taxing authorities have correctly disregarded sales beyond the assessment year when the notification levied the sales tax only on the last purchaser within the State, and satisfactory evidence has been led to show the revision petitioner not to be such last purchaser though after the relevant year?" The learned Advocate for the revision petitioner has ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... be liable for the tax on the turnover for which the goods are bought by him at such point." The Government has specified the points in a Notification whose relevant extract runs as follows: In exercise of the powers conferred by clause (vii) of section 5, of the General Sales Tax Act (Act XI of 1125), the Government of Kerala hereby specify the point mentioned in column 3 of the schedule, hereto appended, as the point liable to tax under section 3(i) on the goods mentioned in column 2. S. No. Description of goods. Taxable point. 27. Pepper ... Last purchase in the State by a dealer who is not exempt from taxation under section 3(3). 28. Ginger ... Do. 30. Turmeric ... Do. " 3.. The revision petitioner's Advocate relying on the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... assessed, but many years before and it was held that the assessee was not entitled to deduct the amount. The assessee in Kikabhai Premchand v. Commissioner of Income-tax[1953] 24 I.T.R. 506. had during the relevant account year withdrawn some silver bars and shares from the business and settled them on certain trusts, in which he was the managing trustee. The Income-tax authorities had assessed the tax on the difference between the cost price of the silver bars and their market value at the date of their withdrawal from the business. The Supreme Court allowing the appeal has held as follows: "For income-tax purposes, each year is a self-contained accounting period and the Income-tax authorities can only take into consideration income, pro ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... would correspond with the assessment year 1948-49." 4.. It follows that the tax under section 3(1) of the Act being payable on the turnover of a fixed period, such unit should be self-contained for the purposes, and whatever happens before or after the assessment year would be excluded for assessing the liability. The petitioner's learned Advocate has urged that the words in column 3 of the Notification do not refer to the year and therefore the sales by his client would become relevant. One would not expect any reference to year in that column, because the opening part of the Notification refers to tax under section 3(1), and so does section 5(vii) under which the Notification has been issued. Section 3(1), as we have already stated, ma ..... X X X X Extracts X X X X X X X X Extracts X X X X
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