TMI Blog1999 (9) TMI 929X X X X Extracts X X X X X X X X Extracts X X X X ..... urisdiction of the revisional authority; (2) whether the excise duty paid by the purchasers should be included in the total turnover of the manufacturer; and (3) service charges are to be treated as part of the turnover. 3.. At the time of hearing it is represented by the learned counsel for the petitioners that the first and third issues are not seriously contested, except in the case of T.R.C. No. 46 of 1991. Therefore, these two issues are held against the petitioners, except in the case of T.R.C. No. 46 of 1991 where the issues are contested. 4.. Coming to the second issue relating to the inclusion of excise duty component paid by the customer/dealer on behalf of the assessee should be treated as part of the turnover, originally the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... be included in the turnover of the assessee. The learned counsel also contended that in view of the above decision the Sales Tax Act was amended by substituting entry 26 of the First Schedule to the Andhra Pradesh General Sales Tax Act, 1957, and as per which two different rates are prescribed-one when excise duty is included in the total turnover and another when excise duty is not included. This further supports the view of the assessee that the assessments as framed by the original authority accepting the turnover excluding the excise duty component is proper and the revision of such assessments is illegal. The learned counsel also contended that the Tribunal relied upon a later decision in the case of McDowell Company Limited [1985] 5 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ore, it is contended that the order of the Tribunal is proper and just and it does not call for any interference. The issue, therefore, arises for consideration is whether the inclusion of the excise duty in the total turnover is valid. 7.. The contention is that all the tax revision cases relate for the assessment years prior to the amendment of rules 76 and 79 of the Andhra Pradesh Distillery Rules, 1970 on August 4, 1981 and it is the contention of the assessee that there was no obligation on the part of the manufacturer to pay the excise duty prior to such amendment and therefore the same should not be includible in the total turnover in view of the decision of the Supreme Court in the case of first McDowell Co. [1977] 39 STC 151. A ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... price charged by him. The sale price in such a case could be the entire price inclusive of excise duty because that would be the consideration payable by the purchaser for the sale of the goods. True, the excise duty component of the price would not be an addition to the coffers of the dealer, as it would go to reimburse him in respect of the excise duty already paid by him on the manufacture of the goods. But, even so, it would be part of the sale price because it forms a component of the consideration payable by the purchaser to the dealer. It is only as part of the consideration for the sale of the goods that the amount representing excise duty would be payable by the purchaser. There is no other manner of liability, statutory or o ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... o forms part of the sale consideration. Accordingly, it should be treated as part of the total turnover of the manufacturer. Therefore, the Tribunal upheld the order of the Deputy Commissioner. 10.. Though it is contended before us that in the later McDowell s case [1985] 59 STC 277 (SC), the decision rendered in the first McDowell s case [1977] 39 STC 151 (SC) was not overruled, therefore, the said decision still holds good and if so, the excise duty paid by the customers/dealers should not be treated as part of the turnover of the manufacturer. We are unable to accept the said contention of the learned counsel for the petitioners. As already referred to earlier the Supreme Court itself has clarified the decision rendered by it in the fi ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
