PUNJAB TYRES Vs. COMMISSIONER OF SALES TAX

JUDGEMENT

(1.) The applicant, in these two revisions under Section 11(1) of the U. P. Sales Tax Act, is a dealer who is aggrieved by the levy of tax upon him, during the years 1973-74 and 1974-75, on sale of tyres of motor vehicles, etc., on the assumption that he had sold them after purchasing them from outside the State of U. P.

(2.) In respect of both the years, the books of account of the dealer were rejected. The case of the dealer was that he was making sale of tyres, which was a controlled commodity, after purchasing them within the State of U. P. His case also was that he did not import any tyres nor did he sell them after such import.

(3.) The turnover of sale of tyres and tubes of motor-cycles, motor scooters, etc., was, under notifications issued by the State Government in exercise of powers under Section 3-A of the Act, liable to tax only in the hands of the manufacturer or importer. There is no dispute about this fact nor is there any dispute about the fact that the applicant was not a manufacturer. The turnover of sale which has been brought to tax in the hands of the applicant-dealer in these two years is Rs. 10,000 and Rs. 15,000 respectively and the dealer has been held liable to pay tax thereon because, in the opinion of the authorities, he had made sales after importing the tyres.