STATE OF ANDHRA PRADESH Vs. BAHADURMAL CHOWDARY

JUDGEMENT

(1.) THIS Revision is filed by the Revenue under Section 22(1) of the AP General Sales Tax Act, 1957 (for short "the APGST Act") challenging the order dated 04 -06 -1999 in T.A. No. 669/95 relating to the assessment year 1987 -88 (CST). The respondent is involved in the business of sale and purchase of maize as a Commission Agent. It is registered as a dealer under the APGST Act, 1957 and the Central Sales Tax Act, 1956 (for short "the CST Act") on the rolls of the CTO -II, Nizamabad.

(2.) THE respondent filed its return under the CST Act for the assessment year 1987 -88 showing a gross turnover of Rs. 21,99,070/ - and showed it as exempted turnover. The CTO -II, Nizamabad by order dated 31 -10 -1991 assessed the respondent on a gross turnover of Rs. 33,78,800/ -, treated it as exempted turnover and did not levy any tax.

(3.) TO the said show cause notice, the respondent gave a reply dated 28 -06 -1995 contending that they have disclosed the statement of buying agency transactions in maize before the assessing authority; that in respect of unpaid purchasers, they have remitted sales tax along with their return for May 1987; that the principals did not give despatch instructions but asked them to sell it at reasonable price when there was a good offer; that one of the buying principals M/s. Unique Sugar Limited, Dondiache gave telephonic instructions to buy and despatch maize; that the above maize of their resident agents was purchased by them in the capacity of buying agents and despatched to them; and that they have not effected any interstate sales of maize.