COMMISSIONER, TRADE TAX Vs. ENT NIRMATA KALYAN SAMITI

JUDGEMENT

(1.) THE above four revisions were heard together and are being disposed of by a common judgment. They relate to the assessment years 1990 -91, 1991 -92, 1992 -93 and 1993 -94. The dealer -opposite party is a society and carries on the business of coal. It has supplied coal to its members who are brick -kiln owners.

(2.) THE only question raised in these revisions is whether inward freight is part of turnover or not. In the memo of revision, the following common question of law has been framed:

(3.) SHRI Om Prakash Tripathi, secretary of the society appeared before the assessing officer who stated that coal was imported from outside the State of U.P. and it was supplied to its members. Purchase vouchers, supply memo form XXXI and register of C form were maintained. The assessing authority found that the dealer -opposite party has not properly maintained the account books. The contract, if any, with the persons who have purchased the coal, has not been filed. The disclosed turnover, in the absence of proper and accurate account books, was rejected and best judgment assessment order was framed. While doing so, the assessing officer added the cost of "inward freight" towards the price of coal. In appeal, the appellate authority held that the dealer -opposite party is a registered society under the Societies Registration Act and it has supplied coal to its members on "no -profit no -loss basis", the goods were imported through rail. The "inward freight" in view of the judgment of the apex court in the case of Vinod Coal Syndicate v. Commissioner of Sales Tax, [1989] 73 STC 317 :, [1988] UPTC 218 will not form part of the turnover. The assessed turnover was reduced accordingly. The said order has been confirmed, as stated above, by the Tribunal.