COMMISSIONER TRADE TAX Vs. MALTI DEVI

JUDGEMENT

(1.) This revision is directed against the order of the Trade Tax Tribunal, Gorakhpur, allowing Second Appeal No. 493 of 1994 for the assessment year 1988-89 filed by S/s. Malti Devi.

(2.) The dispute relates to a turnover of Rs. 6,90,351.97 paise in respect of purchase of rice bran which was sold by the dealer to a dealer holding recognition certificate under Section 4-B of the U.P. Trade Tax Act, 1948. The rice bran is taxable at the time of first purchase. The dealer claimed that it was purchased for and on behalf of recognition certificate holder under Section 4-B and he was exempt from payment of tax under Section 4-B(l)(a-1). The assessing authority did not accept this claim of the assessee on the ground that the dealer was himself not a recognition certificate holder and rice bran was not a declared commodity under Section 14 of the Central Sales Tax Act, 1956. The assessing authority also held that the dealer was first purchaser of the rice bran.

(3.) First appeal filed by the dealer was dismissed by the Deputy Commissioner (Appeals). In second appeal, however, the Tribunal accepted the claim of the dealer relying upon the decision of a division Bench of this Court in Hari Om Gupta, Shanjahanpur v. State of U.P. reported in 1995 UPTC 368.