DEPUTY COMMISSIONER OF COMMERCIAL TAXES COIMBATORE DIVISION Vs. M KRISHNASWAMI MUDALIAR AND SONS VELLORE

JUDGEMENT

(1.) This is a batch of petitions under the Sales-tax Act, which are given the appellation "tax on tax" cases, which expression is suggestive of the point involved in the cases.

(2.) The question raised is: whether the amounts collected by the registered dealer from the consumer by way of tax and paid over to the Government should be included in the turnover of the registered dealer as part of the sale price of the goods sold. The facts ill C. R. P. No. 1413 of 1952 may be taken as typical of the facts in the other cases.

(3.) The assessee in the case is one Krishnaswami Mudaliar and Sons dealers in timber and piece goods at Vellore. His turnover was assessed at Rs. 27,38,901-110 for the assessment year 1948-49. The assessee objected to the inclusion of a sum of Bs. 39,759-13-1 in the turnover of his business as it represents the amount of tax which he collected from the consumers and paid over to Government. The decision of the department was against the assessee; he succeeded in convincing the Tribunal that his claim was well-founded. The Government have filed these petitions against the orders of toe Tribunal.