DHIRENDRANATH DAS Vs. STATE OF ORISSA

JUDGEMENT

(1.) THE petitioner was assessed to purchase tax for the quarter ending 30th September, 1959. The assessed order under section 12 (4) of the Orissa Sales Tax Act (hereinafter referred to as the Act) determined the taxable turnover at Rs. 32,599-7-0. The purchase tax levied was Rs. 977. 97. Appeals to the Assistant Commissioner of Sales Tax, Puri (the first appellate authority) and to the Sales Tax Tribunal, Orissa (the second appellate authority) failed. The petitioner filed an application before the Tribunal under section 24 (1) of the Act to state a case and refer the following two questions :-

(2.) THE facts, out of which this reference arises, may be stated in brief. Fish is caught from the Chilka Lake by a class of people called Bahanias (fishermen ). The petitioner's case is that he is the commission agent of these fishermen and he does not purchase fish from them. As commission agent he procures the fish and despatches them to Calcutta market to adatdars who are again his commission agents. There being no sale by the fishermen to the petitioner, the petitioner does not make any purchase, and purchase tax is not leviable on him. The assessing authorities, after a through examination of the account books produced by the petitioner and other materials on record, came to the conclusion that the petitioner's stand was not correct, that he was a purchaser of fish from the fishermen, and that, being a registered dealer under the Act, he was liable to pay purchase tax. It is to be noted that by Orissa Act 28 of 1958, which came into force on 1st December, 1958, purchase tax was introduced. The definitions of "dealer" and "gross turnover" were amended to include purchases.

(3.) SECTION 8 of the Act makes provision for single point taxation. So far as relevant, it runs thus :