9911796707
TMI Blog1980 (12) TMI 164X X X X Extracts X X X X X X X X Extracts X X X X ..... missing Tribunal Appeals Nos. 959 and 960 of 1977 filed before it by the State. 2.. The assessee is M/s. Burmah Shell Oil Storage and Distributing Company Ltd., and the second appeals disposed of by the Tribunal arose out of the assessments to sales tax under the Kerala General Sales Tax Act, 1963 (hereinafter called the Act), made against the assessee for the assessment years 1974-75 and 1975-76. Two questions were raised before the Tribunal by the State in these second appeals. The first question was whether the excise duty paid to the Central excise department on petroleum products purchased by the assessee was liable to be included in the taxable turnover of the assessee for the two assessment years. The second question was whether the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... time of withdrawal of the products from the tanks and not at the rate which was in force at the time of the purchase of the products from the Indian Oil Corporation. The assesseecompany became the owner of the products when it had obtained the delivery of the same through the pipelines into its storage tanks and it was in the capacity as the owner of the products that it had executed the bond to pay the duty on its own behalf under the statutory provisions contained in the Central Excise Rules. 4.. The assessing authority while completing the assessment of the assesseecompany for the years aforementioned included in the taxable turnover the amount of excise duty paid by the assessee on the basis that those amounts formed part of the purcha ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... in the assessee's favour. The department thereafter took the matter before the Tribunal contending that the Deputy Commissioner had erred in upholding the aforementioned contentions put forward by the assessee. These appeals were dismissed by the Tribunal. 6.. Notwithstanding the learned and persuasive arguments advanced before us by the Government Pleader appearing on behalf of the petitioner, we have unhesitatingly come to the conclusion that the decision rendered by the Tribunal on both the points is absolutely correct and does not call for any interference. The question whether the excise duty paid by the assessee directly to the Central excise department at the stage of removal of the petroleum products from its storage tanks which ar ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... which goods are either bought or sold. The excise duty paid by the assessee to the Central excise authorities cannot, in any sense, be regarded as forming a component part of the price for which the goods were bought by the assessee from the Indian Oil Corporation. This position has been placed before us beyond doubt by the observations of the Supreme Court in the ruling aforecited. Accordingly, we hold that the Tribunal was perfectly right in holding that the amount of excise duty paid by the assessee is not liable to be included in the taxable turnover of the assessee for the purpose of section 5A of the Act. 7.. The second question relating to the entitlement of the assessee to the benefit of the concessional rate of taxation in relatio ..... X X X X Extracts X X X X X X X X Extracts X X X X
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