TMI Blog2013 (7) TMI 512X X X X Extracts X X X X X X X X Extracts X X X X ..... t include any sum, it being not the amount for which the goods are bought or sold, cannot be brought in within the definition of sale - assessee was not registered under the Central Excise Provisions at the time when he effected sales of the manufactured items - on the date of sale, all that the petitioner had collected as sale consideration alone would be the turnover for the purpose of assessment and when the Tribunal on the first round of litigation has clearly pointed out that the Assessing Officer was to verify the sale price till October 1986 and after October 1986 and further to find out whether the assessee had passed on the duty paid as part of the sale consideration and when no efforts were taken on this aspect, no justifiable gr ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ntral Excise provisions on 27.10.1986. During the period from 22.10.1986 to 27.10.1986, there were no sales. Based on the proceedings from the Central Excise Authorities for the past transaction, the assessee is stated to have paid the Excise Duty. The case of the assessee is that as on the date of sale, since there was no excise duty paid by him, the question of including all duty element into the cost for the purpose of payment of sales tax did not arise, hence, they did not collect any sales tax on the excise duty component in the sale consideration. However, the sales tax authority proposed to add excise duty of ₹ 24,42,049/- to the taxable turnover and demanded tax thereon. The Assessing Officer viewed that non-collection of Exci ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... stomer by raising any debit note or not. 4. Rejecting the plea of the Revenue and placing reliance on the decision in the case of Mecdowell and Co.Ltd., Vs. Commercial Tax Officer reported in 59 STC 277 and the decision in the case of Mohan Breweries and Distilleries Ltd., Vs. Commercial Tax Officer, Madras and Others reported in 107 STC 212, the Sales Tax Appellate Tribunal pointed out that as on the date of sale, evidently, there was no excise duty liability passed on to the customer and tax was collected only on the invoice amount. The liability itself was made only subsequent to the transaction of sale. In the circumstances, on the directions referred to above, the Sales Tax Appellate Tribunal directed the Assessing Officer to verify ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ported in the case of Mohan Breweries and Distilleries Ltd Vs. Commercial Tax Officer, Madras and Others reported in 107 STC 212 in this regard and submitted that even in the case of postponing the liability on excise duty component, the Apex Court had held that excise duty was includable in the turnover of the assessee. 10. We reject this argument particularly on the factual findings of the Sales Tax Appellate Tribunal. Evidently, there is no definition of the term 'sale consideration' or 'sale price' in the Tamil Nadu General Sales Tax Act. Section 2 (r) defines 'turnover' as follows:- turnover means the aggregate amount for which goods are bought or sold, or delivered or supplied or otherwise disposed of ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... he goods are bought or sold, cannot be brought in within the definition of sale. Thus taking the above said definition into consideration that what is charged as consideration alone could be considered as turnover, one can say that in the present case, the price, at which goods are bought or sold would be the turnover for the purpose of assessment. Admittedly, the assessee was not registered under the Central Excise Provisions at the time when he effected sales of the manufactured items, who, got registered only on 27.10.1986. The assessee paid the excise duty for the manufactured items alone for the relevant assessment year i.e., on 07.11.1988, 19.11.1987 and 30.10.1991. It is seen that the assessee had also challenged the payment of excis ..... X X X X Extracts X X X X X X X X Extracts X X X X
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