TMI Blog1980 (1) TMI 180X X X X Extracts X X X X X X X X Extracts X X X X ..... ial facts giving rise to this reference, as set out in the statement of case, are briefly as follows: The assessee, M/s. Swadeshi Cotton and Flour Mills Ltd., Indore, is engaged in the business of manufacture and sale of cotton textile, yarn, etc. The assessment year in question is the calendar year 1962. The gross turnover of the assessee was determined at Rs. 2,16,07,478, which included the sale of 23,684 bales of cloth for Rs. 1,91,03,718. As the bales of cloth were packed with bardana and iron hoops, the assessing authority held that there was an implied sale of bardana and iron hoops and assessed them to tax at the rate of Rs. 2.50 per bale for bardana and Rs. 1.50 per bale for iron hoops. The assessee also sold yarn in 1,993 bales pac ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... and Bhagwandas v. Commissioner of Sales Tax(3), and contended that in view of these decisions it must be held that the Board had erred in holding that there was no implied sale of the packing material along with the sale of cloth bales. 4.. Having heard the learned counsel for the parties, we have come to the conclusion that this reference must be answered in favour of the assessee and against the department. As regards the grievance that the Board had not given any clear findings, all that we can say is that no such grievance can be made in view of the question referred to us. That question is based on the assumption that there was material before the Board for giving a finding and that finding was accordingly given by the Board that th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... eliance was placed by the learned counsel for the department, are distinguishable on facts. From the facts stated in the decision in Bhagwandas v. Commissioner of Sales Tax[1978] 41 S.T.C. 387; 1978 M.P.L.J. 334., it is clear that the Tribunal in that case had found that the price of the packing material had been taken into account in fixing the price of the goods sold. Similarly, in Patel Volkart Pvt. Ltd. v. Commissioner of Sales Tax[1972] 29 S.T.C. 515; 1972 M.P.L.J. 221., the Tribunal had found that the contract entered into by the assessee in that case made it obligatory to supply cotton with the packing material. In the instant case, no such finding was arrived at by the Board. In these circumstances, it must be held that, on the fact ..... X X X X Extracts X X X X X X X X Extracts X X X X
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