CHARU PHARMACY AND CLINIC Vs. STATE OF BIHAR

JUDGEMENT

(1.) The Commercial Taxes Tribunal, Bihar, has made this reference to this court Under Section 25(1) of the Bihar Sales Tax Act, 1947, hereinafter called the Act, on the following two questions of law :

(2.) The facts of the case as stated in the statement are these: The assessee is a physician who runs a pharmacy and clinic for examination and treatment of patients who go to him. As a result of a surprise inspection by the Intelligence Branch of the sales tax department on 28th September, 1958, proceedings for assessment of sales tax were commenced by the Assessing Officer on the basis of the result of the examination of books of account seized during the inspection. Assessments were made for the periods 1954-55, 1955-56, 1956-57, 1957-58 and 1-4-58 to 31-7-58. On appeal the assessment for the year 1954-55 was confirmed, but for the remaining four periods the assessment orders were set aside and the proceedings were remanded for fresh assessment due to certain technical irregularities. Fresh assessment orders for the four periods 1955-56, 1956-57, 1957-58 and 1-4-58 to 31-7-58 were made. They are annexures A to A/4 to the statement of the case. Against these assessment orders, the assessee filed appeals before the Deputy Commissioner of Commercial Taxes, Ranchi, who by his order dated 6th March, 1963, (annexure C) dismissed the appeals. The assessee then filed revision applications before the Commissioner of Commercial Taxes, but the revisions were dismissed. Then he preferred second revisions before the Board of Revenue, which were eventually transferred to the Tribunal for disposal. The Tribunal dismissed these revision applications by order dated 22nd January, 1966 (annexure G). On being asked to state a case, the Tribunal has done so on the two questions of law stated above.

(3.) In the revisional order of the Tribunal the facts recorded are these: (1) that the assessee is a physician, runs a pharmacy and clinic and examines the patients who go to him for treatment; (2) that a prescription is drawn up and medicines are supplied from the pharmacy to the patients on payment of its price; (3) that the prescriptions are not handed over to the patients and they are transcribed in a register in which the charges realised are also noted; and (4) that the assessee is not engaged in selling medicines to any outsider.