KRISHNA MURTHY Vs. STATE OF MYSORE

JUDGEMENT

(1.) THE main question to be decided in this case is whether the tax payable under the Mysore Sales Tax Act, 1957, in respect of sales of beer manufactured in India is three per cent. or twenty -five per cent. of the turnover. The material facts are these :

(2.) THE process by which he reached that conclusion was this : On 1st October, 1957, on which date the Act came into force, the petitioner had with him stocks of liquor of the value of Rs. 15,634 -75 up. To this amount, the Commercial Tax Officer added a sum equivalent to twelve and half per cent. thereof which in his opinion represented the petitioner's profits. The total of these two amounts was Rs. 18,000. To this sum of Rs. 18,000 was added another Rs. 18,000 which represented the value of liquor purchased by the petitioner after 1st October, 1957. The value of refreshments which the petitioner served in his bar was Rs. 3,000. The total of these sums of money which was thus Rs. 39,000 was computed to be the petitioner's turnover for the relevant period.

(3.) FROM this assessment, the petitioner appealed to the Deputy Commissioner of Commercial Taxes, and that appeal having been dismissed, he appealed next to the Mysore Sales Tax Appellate Tribunal. That appeal was also unsuccessful.