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TMI Blog2000 (3) TMI 1055X X X X Extracts X X X X X X X X Extracts X X X X ..... vement of roads by utilizing bricks manufactured by it. There was no agreement to supply materials necessary for the improvement of roads independent of the contract works. Although not liable to pay sales tax under the provisions of the Act, the petitioner-firm by mistake in some cases deposited taxes on the turnover involved in the consolidated contract works. But the assessing authority by the impugned assessment orders dated March 26, 1984 and April 24, 1987 on misinterpretation of law enhanced the turnover and raised demand accordingly. Being aggrieved thereby, the petitioner-firm approached the Assistant Commissioner of Taxes, Tripura, as well as the Tripura Sales Tax Tribunal. Both the authorities confirmed the assessment made by the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... rse, this decision was rendered after recording a finding to the effect that the contract in question was a contract for work and labour and not a contract for sale. 6.. In the instant case, we are concerned with the question whether bricks supplied and utilized in the improvement of roads in execution of a works contract could be treated as sale for the purpose of levy of sales tax prior to the amendment of the Tripura Sales Tax Act, 1976. Applying the ratio available in Sailesh Chandra Nandi [1991] 82 STC 209 (Gauhati) and taking into consideration the nature of the contract, this Court is of the opinion that it was not a sale within the meaning of section 2(g) of the Tripura Sales Tax Act, 1976 and that no tax could be levied on the val ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... rovement of roads being indivisible part of a works contract for any assessment year prior to July 12, 1984, could not be taxed under the law as was then in force. In my opinion, the impugned assessment has been wrong and cannot be sustained. Consequently, the decision of the Assistant Commissioner of Taxes, Government of Tripura, Agartala, as first appellate authority and of the Tripura Sales Tax Tribunal impugned in these writ petitions cannot be sustained. 8.. In the result, I allow the writ petitions and set aside the impugned assessment and orders passed by the above two authorities and remit the matter back to the Superintendent of Taxes (respondent No. 4) to reassess the turnover in the light of the decision as above. 9.. No order ..... X X X X Extracts X X X X X X X X Extracts X X X X
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