DEHRADUN TEA COMPANY LTD. Vs. STATE OF UTTARANCHAL

JUDGEMENT

(1.) THIS is a revision petition filed under Section 11(1) of the Trade Tax Act against the judgment and order dated April 19, 2005 passed by the Trade Tax Tribunal, Dehradun. The learned Tribunal reversed the findings of the first appellate authority and restored the judgment of the assessing authority.

(2.) BRIEF facts for the disposal of this appeal are that the revisionist deals in sale of tea leaves grown in his own garden and he also purchased some tea leaves from East Hope Town Company, Dehradun for the assessment year 2000 -2001 and he also submitted that he had no purchase tax liability on the turnover. He indicated in the said turnover the purchase of the tea from East Hope Town Company and he also submitted that the purchase tax is not liable to be taxed on the said purchase. The assessing authority did not accept the said turnover and levied the purchase tax on the resale of the tea leaves after getting it processed from East Hope Town Company. Feeling aggrieved by the said order he preferred the first appeal before the Joint Commissioner (Appeal), Trade Tax, Dehradun and he allowed the appeal and exonerated the assessee from the tax. Thereafter the department preferred the second appeal before the Trade Tax Tribunal. The Tribunal reversed the order of the first appellate authority and allowed the appeal and restored the order of the assessing authority. Feeling aggrieved by the said order, the present revision has been preferred before this court.

(3.) THE only controversy that arises in this revision is as to whether the assessing authority was competent to levy the purchase tax upon the re -sale of the processed tea to the other dealers. It has also to be seen as to whether the raw tea leaves purchased from other tea gardens on which the sales tax had already been levied, if the purchaser processes it and makes it usable and re -sells the same to the dealer, as to whether the purchase tax is liable to be levied on the said goods or not.