PANDURANGA TRADERS Vs. STATE OF ANDHRA PRADESH

JUDGEMENT

(1.) THIS is an appeal filed by M/s. Panduranga Traders, Nizamabad, against the orders of the Appellate Deputy Commissioner (CT), Secunderabad Division, Hyderabad, dated 17 -8 -1996 in Appeal No. 362/96 -97 filed against the assessment orders of the Commercial Tax Officer -I, Nizamabad, in G.I. No. 11661/93 -94, dated 14.9.1995. The dispute is in respect of inclusion of Rs. 78,59,050 -00, in the gross turnover affecting the rate of additional tax. The appellant is a dealer in agricultural produce. It purchased and sold agricultural produce on own account and also on behalf of the principals. The amount of Rs. 78,59,050/ - is said to relate to sale of maize on behalf of principals. The contention of the appellant is that maize being liable to tax at the point of purchase the sale of maize does not constitute turnover and that if that amount is deducted the rate of additional tax would be less than what was levied because the gross turnover would be in a lower slab under Section 5 -A of the A.P.G.S.T. Act. The appeal filed against the assessment order was dismissed on the ground that having regard to the expressions "turnover in all goods" and "Whether or not the whole or any portion of such turnover is liable to tax" occurring in section 2(i)(r), the turnover of maize comprising of sale of maize in selling agency would constitute turnover. Hence this appeal.

(2.) THE point for consideration is, whether the disputed amount relating to selling agency of maize is not turnover and therefore the appellant is liable to lower rate additional tax?