METALITE INDUSTRIES Vs. COMMISSIONER OF SALES TAX

JUDGEMENT

(1.) By this common judgment, we propose to dispose of both the references made by the Appellate Tribunal, Sales Tax Department, New Delhi. Initially ST Ref. No. 12 of 2002 was made on the following question of law:-

(2.) Vide ST. Ref. No. 4 of 2003 consolidated questions of law were referred by the Tribunal. Same are as under:-

(3.) The petitioner was assessed for the assessment year 1987-88. On 30 th March, 1992 an additional payment of Rs.8,05,831/- was created. The items which were sold by the petitioner to the purchasing dealer were not allowed as per registration certificate of purchaser without payment of tax. Reassessment was done and tax return of Rs.14,12,314/- @ 7% along with interest was assessed whereby an additional demand was raised from Rs.8,05,831/- to Rs.13,53,486/-. The appeal against the reassessment order was dismissed by the Additional Commissioner Sales Tax (hereinafter, referred to as 'ACST'). The petitioner/assessee filed an appeal before Appellate Tribunal Sales Tax (hereinafter referred to as 'Tribunal') which was also dismissed vide the impugned order. The petitioner deals in iron and steel. It had sold cable trays without charging tax from the purchasing dealer. As per the Department the same could not be sold without charging tax from the purchaser.