JOWLI SUNKIAH AND CO Vs. COMMERCIAL TAX OFFICER

JUDGEMENT

(1.) This is an application under Article 226 of the Constitution of India for an order in the nature of a writ of Certiorari to call for the records relating to assessment No. G. O 1. 5436/62-63 dated 15-3-1964 made by the Deputy Commercial Tax Officer Nandyal and to quash the same.

(2.) The petitioner firm is a dealer in groundnuts, seeds, etc. It purchases groundnut and decorticates them into kernel in a factory by taking the same on lease from Messrs. Sri Venkateswara Oil Mills. Dhune and sells the kernel thus decorticated to other Crushing millers. The petitioner submitted its return for the year 1962-63. The Commercial Tax Officer, Nandyal determined the turnover and levied tax on the purchases made by the petitioner of groundnut based on the turnover of kernel supplied to the crushing mills. The petitioner filed the above writ petition for the issue of a writ of Certiorari to quash the said order of assessment on the ground that groundnut is one of the scheduled goods liable to tax only at a single point, that tax has already been recovered from the crushing millers who purchased groundnut from the petitioner and sought to adduce evidence in support of this contention in the form of affidavits The Commercial Tax Officer rejecting these objections, passed the impugned assessment order holding that the petitioner is the person liable to pay the tax and that even assuming that the crushing millers have paid the tax that does not affect the position. It was further stated in the order of assessment that tax has to be collected at the right person only notwithstanding the fact that some other dealers paid tax and that the question of examination of affidavits does not arise at all.

(3.) The Question which therefore arises for consideration before us is whether the petitioner who is a decorticating miller is liable to pay the tax even assuming that the crushing millers who purchased groundnut from the petitioner have paid the tax The relevant provisions of the Andhra Pradesh General Sales Tax Act, 1957 are as follows- Section 6 Tax in respect of declare goods. Notwithstanding anything contained in Section 5, the sales or purchases of declared goods by a deafer shall be liable to tax at the rate, and only at the point of sale or purchase specified against each in the Fourth Schedule, irrespective of the quantum of his turnover in such goods; and the tax shall be assessed, levied and collected in such manner is may be prescribed. By Amending Act 3 of 1958, in item 3 aforesaid column (1) the following words were added, namely :-- "Other than coconut and cotton seeds" and items 3-A and 3-B were added specifying cotton seeds and coconuts separately. Thereafter, by Amending Act 26 of 1959 in item 3 for the words other than coconuts and cotton seeds the words other than groundnuts, coconuts and cotton seeds were substituted and item 3-C is added which is as follows There was however a subsequent amendment with which we are not really concerned in this case, but it may be necessary to refer to the same to complete the history of this item. That amendment is as follows :--