- (1.) VIDE this judgment several writ petitions are being disposed of as common questions of law arises therein. In five writ petitions (Civil Writ Petitions Nos. 796, 987, 988, 1860 and 2357 of 1993), on notice of motion having been issued written statements have been filed on behalf of the official respondents. The other cases were simply adjourned, to be taken up alongwith the connected cases, referred to above. Those cases shall also stand disposed of even though no notices have been issued to the respondents and written statements have not been invited. Main judgment is thus prepared in CWP No. 796 of 1993. The petitioners in these writ petitions are licensees as defined under the Punjab Agricultural. Produce Markets Act, 1961 (hereinafter called as 'the-Markets Act') They are also registered dealers under the Punjab Certral Sales Tax Act, 1948. Some of the writ petitioners make purchases of agricultural produce from other licensees in the area of the same Market Committee. They are liable to pay market fee on such transactions to the Market Committee. The Authorities under the Punjab General Sales Tax Act intending to impose purchase tax on such transactions claim that the amount of the market fee paid by the petitioners would also be part of the turn, over alongwith price of the agricultural produce and other necessary expenses incurred on such transactions. Thus the question for consideration is as to whether the purchase tax can be levied on the amount of market fee paid by the dealer.
(2.) IN the other set of writ petitions, apart from the above question, another question is. for consideration which arises in the following circumstances. These writ petitioners who are registered' dealers under the provisions of the Punjab General Sales Tax Act, apart from making purchases locally, they make purchases of agricultural produce from other places in the State of Punjab where they are not registered as licensees under the Markets Act. Since they are liable to pay, market fee on such transactions' as purchasers, their sellers on their behalf collect market fee from them and deposit the same in the respective Market' Committees as required under the provisions of the Markets Act. It' is in such circumstances that the Assessing Authorities under the Punjab General Sales Tax Act claim that purchase taxis also payable on the turnover of the petitioners which should include the price of the agricultural produce and other expenses incurred by the petitioners and this should also include the amount of the market fee paid on their behalf by the sellers in the: respective Market Committee.
(3.) THE case of the petitioners is two-fold. Firstly they allege that? they are not liable to pay purchase tax on the market fee as it is their legal obligation: to pay market fee at the time of making purchase and in the first set of cases such market fee is paid by them directly to the Market Committee as the agricultural produce is purchased by them locally. Such market fee-paid cannot be considered as part of the consideration paid by them for the agricultural produce purchased. With respect to the second, question the case of the petitioners is that under the provisions of the Markets Act the liability to pay market fee is of the purchaser and s (sic)nee the purchasers are not licensees under the provisions of the Markets Act, it is the liability of the sellers who may collect the amount of the market fee from the purchasers and deposit it with the respective Market Committees. The payment of market fee is their legal duty in the circumstances above and the amount of market fee cannot be treated as sale consideration or part thereof.;