TMI Blog2004 (6) TMI 612X X X X Extracts X X X X X X X X Extracts X X X X ..... ral sales tax only at the rate of 1 per cent and further that since the rate of tax was below 4 per cent he was not required to furnish the 'C' form. The assessing authority held that what was sold by the assessee in the inter-State sales was jewellery and not bullion. Aggrieved by the assessment order the petitioner filed an appeal before the appellate authority contending that the rate of tax applicable was only 1 per cent. As per annexure J order dated June 18, 2003, the appellate authority held that what was sold inter-State by the assessee would come under bullion taxable at the rate of 1 per cent and directed the assessing authority to modify the Central sales tax assessment for the year 2000-2001. Against the said order of th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the assessing authority if the assessee was selling bullion, he could have written that in the monthly returns filed by him. It was also pointed out that the rate of tax admitted as per the monthly returns filed by the assessee was 4 per cent and the entire tax at the rate of 4 per cent was also paid by the assessee. According to the assessing authority if the assessee was effecting inter-State sales of bullion, he was required to admit a tax rate of 1 per cent and to pay the tax at 1 per cent. It was also pointed out that the assessee had effected inter-State sales of Rs. 44,34,350 (rupees forty-four lakhs thirty-four thousand three hundred and fifty only), but he had not declared the goods at the border check-post even once. All the sales ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ewellery and not bullion from the customers and what was sold inter-State by the assessee was the said old gold jewellery. Therefore, the question to be considered by the Tribunal was whether the assessee had purchased from the customers old gold jewellery or bullion and whether what was sold inter-State by the assessee was gold jewellery or bullion . The Appellate Tribunal found that what was purchased by the assessee from the customers was nothing but old gold ornaments though it was melted after the purchase was over. According to the Appellate Tribunal, melting was a subsequent event after the purchase was over. However, apart from the assertion of the assessee, the Appellate Tribunal has not pointed out any material to come to t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... rs to have accepted that old gold ornaments purchased by the assessee were melted after the purchase was over, the Tribunal has further proceeded on the assumption that the commodity sold inter-State was old gold ornaments different from bullion. Even assuming that the old gold ornaments purchased by the assessee were melted after the purchase was over and that such melted gold was sold inter-State by the assessee, the Tribunal has not considered whether such melted gold falls under the description of bullion or not. It is true that the Tribunal has referred to the decision of the honourable Supreme Court in Deputy Commissioner of Sales Tax (Law), Board of Revenue (Taxes), Ernakulam v. G.S. Pai Co. [1980] 45 STC 58 which held that orname ..... X X X X Extracts X X X X X X X X Extracts X X X X
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