NAGAMMAL COTTON MILLS Vs. STATE OF TAMIL NADU

JUDGEMENT

(1.) THE assessee has come up in appeal against the order of the Joint Commissioner, who suo motu revised the assessment for the year 1975 -76 under the Central Sales Tax Act, to include therein the value of the goods alleged by the assessee to have been sent to its depot at Bombay by way of consignment sales and which transaction has been found by the Joint Commissioner to be inter -State sales.

(2.) IT is contended by the assessee that even if these transactions are to be treated as inter -State sales, the assessee is entitled to the benefit of the notification issued by the Governor of Tamil Nadu on March 19, 1976, in exercise of the powers conferred by section8(5) of the Act, reducing the rate of tax on sale of cotton yam in the course of inter -State trade or commerce to two per cent as that notification does not mention the date from which it shall take effect, and has therefore to be, deemed to be effective for the whole of the year, for which tax is payable.

(3.) WE , therefore, do not see any error in the finding of the Commissioner, that these transactions of the value of Rs. 60, 04, 830.80 during the year 1975 -76 were inter -State sales and was required to be taxed as such.