SOUTHERN RAILWAY CO-OPERATIVE CANTEEN LTD Vs. COMMERCIAL TAX OFFICER II CIRCLE MYSORE CITY
LAWS(KAR)-1966-3-10
HIGH COURT OF KARNATAKA
Decided on March 11,1966

SOUTHERN RAILWAY CO-OPERATIVE CANTEEN LTD. Appellant
VERSUS
COMMERCIAL TAX OFFICER, II CIRCLE, MYSORE CITY Respondents


Cited Judgements :-

COMMISSIONER OF SALES TAX VS. ANIL CO-OPERATIVE CREDIT SOCIETY [LAWS(GJH)-1968-11-2] [REFERRED TO]
INDAL EMPLOYEES CO-OPERATIVE SOCIETY LTD VS. STATE OF ORISSA [LAWS(ORI)-1968-5-7] [REFERRED TO]


JUDGEMENT

Somnath Iyer, J. - (1.)In these applications the petitioner, namely, the Southern Railway Co-operative Canteen Ltd., Railway Offices, Mysore, calls in question two assessments made by the Commercial Tax Officer under the Mysore Sales Tax Act, 1957, with respect to what was considered by that officer to be the taxable turnover of the petitioner. These two assessments were made for the period ending on 31st March, 1960, and on 31st March, 1961. Writ Petition No. 674 of 1964 relates to the earlier period, while Writ Petition No. 103 of 1964 relates to the later period.
(2.)The petitioner represented to the Commercial Tax Officer by his letter dated 15th January, 1963, that the canteen was not liable to be taxed but was informed by the Commercial Tax Officer by his letter of 28th January, 1963, that the petitioner could appeal if it felt aggrieved by the order of assessment. The petitioner next made a representation to the Commissioner of Commercial Taxes, who by his letter dated 24th April, 1963, informed the petitioner that the canteen was liable to pay the tax which it was called upon to pay.
(3.)The argument presented in these two petitions by Mr. Nanjundiah, the learned Advocate for the petitioner, is that the Commercial Tax Officer overlooked the provisions of section 2(1)(k), (t) and section 5 of the Mysore Sales Tax Act, 1957, the cumulative effect of which is that the charge for a tax is on a sale which is made only in the course of a trade or business and there was no such sale made by the canteen to any one which could be so taxed.


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