9911796707
TMI Blog2010 (11) TMI 897X X X X Extracts X X X X X X X X Extracts X X X X ..... six hundred and thirty eight only). The respondents issued a notice proposing enhancement of turnover of Rs. 1,99,582 (rupees one lakh ninety nine thousand five hundred and eighty two only). At that stage a revised return was filed submitting books of account and the taxable turnover shown at Rs. 86,16,833 (rupees eighty six lakhs sixteen thousand eight hundred and thirty three only). The second respondent increased turnover and confirmed the proposal in the notice by his assessment order dated March 8, 2004. The assessing authority taking into consideration all the payments received as banquet receipts, subjected the same at the higher rate of tax at 10 per cent. under sub-section (a) of section 5 of the Karnataka Sales Tax Act, 1957 (here ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... kitchen is supplied to the banquet hall within the premises of business, without taking any charges for the utilisation of the hall and when the supply of food is made at the same rate as that of the hotel, it cannot be understood as catering service at any stretch of imagination. Therefore, he seeks for the orders of the three authorities to be set aside. According to the revision petitioner, the benefit available to the hotelier or restaurateur as the case may be is applicable to the present petitioner as he does the business in the nature of hotelier as well as restaurateur. Therefore mere supply of food to the banquet hall will not take away him from the meaning of either hotelier or restaurateur. As against this, learned counsel for ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... club registered under the Karnataka Societies Registration Act, 1960) or a registered club including a dealer serving food and drinks in the premises of such club so elects, accept in lieu of the amount of tax payable by him under this Act during any year, by way of composition, an amount at the rate of four per cent of his total turnover. (ii) Any hotelier or restaurateur or a dealer running a sweet meat stall or ice cream parlour or a dealer catering food and drinks or a registered club including a dealer serving food and drinks in such club may apply to the assessing authority to be permitted to pay the amount under clause (i) and, on being so permitted, he shall pay the amount due in advance during the year in equal monthly instalments ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... y looking into Chambers Twenty First Dictionary, a "hotel" means a commercial building providing accommodation, meals and other services to visitors for payment. A "hotelier" is a person who owns or manages a hotel. "Restaurant" is an establishment where meals may be bought and eaten. A "restaurateur" is the owner or manager of a restaurant. "Cater" means to supply food, accommodation or entertainment for them. "Caterer" means a person whose professional occupation is to provide food, etc., for social occasions. "Catering" means the provision of food. By reading the above three definitions, though supply of food is common in all the three business, so far as "caterer" it refers to professional occupation, i.e., a person whose profession i ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ut of the purview of section 17(4) of the Act as the petitioner never supplied the food outside the place of business and his main occupation is hotel and restaurant which is nothing but boarding and lodging as described in the registration certificate. Under these circumstances, the respondent/authorities were not justified in splitting up the banquet receipts and the other receipts in the restaurant or the hotel contending that he has a catering business, therefore, the petitioner is not entitled for the benefit available under sub-section (4) of section 17 of the Act. Even at the relevant point of time, the benefit extended to a woman entrepreneur, who was doing catering of food and drinks, it does not indicate that she has to supply th ..... X X X X Extracts X X X X X X X X Extracts X X X X
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