MOHANLAL VISHRAM Vs. COMMISSIONER OF SALES TAX

JUDGEMENT

(1.) THIS reference under Section 44 (1) of the Madhya Pradesh General Sales Tax Act, 1958, has been made at the instance of the assessee. The questions of law which have been referred to us for our opinion are :

(2.) THE facts material for this reference as given in the statement of the case are these. The assessee is a forest contractor and deals in timber, ballis, etc. His turnover of sales for the period 12th November, 1958, to 31st October, 1959, was assessed to tax. For the period 12th November, 1958, to 31st March, 1959, assessed under Section 11 (3) of the C. P. and Berar Sales Tax Act, 1947, the turnover was enhanced from Rs. 85,633. 03 to Rs. 87,000 and for the rest of the period assessed under Section 18 (5) of the M. P. General Sales Tax Act, 1958, the turnover was enhanced from Rs. 90,017. 05 to Rs. 92,000. For these periods, the regularly maintained account books of the assessee were not accepted because the sales of timber in cubic feet appeared to be somewhat more than the quantity extracted and the account of ballis was not shown in cubic feet. Further, the assessing officer imposed purchase tax on the sale price (called lease money) amounting to Rs. 41,750 under Section 8 (1) of the M. P. General Sales Tax Act, 1958, on the ground that standing trees, which had been purchased, were felled and cut and then sawn by the assessee for getting timber and ballis. The view taken by the assessing officer was affirmed in two successive appeals filed by the assessee and then, at his instance, this reference was made.

(3.) WE have heard the counsel and formed the opinion that, so far as the first question is concerned, the facts are similar to those of other cases between the same parties, namely, Mohanlal Vishram v. Commissioner of Sales Tax [1964] 15 S. T. C. 331 and Mohanlal Vishram v. The Commissioner of Sales Tax, Madhya Pradesh Misc. Civil Case No. 87 of 1964, decided on 23rd January, 1968 There too the questions related to rejection of regularly maintained account books and enhancement of the turnover. In this case, the enhancement is slight because the sales in cubic feet were somewhat in excess of the quantity extracted. We would answer, as we did in the cases referred to by us, the first question in the affirmative.