COMMISSIONER SALES TAX U P Vs. SURAJ PRASAD GOURI SHANKAR

JUDGEMENT

(1.) THESE appeals by special leave arise from the decision of the Allahabad High Court in Sales Tax Reference No. 297 of 1967 on its file. In that case the High Court was considering a reference under Section 11 (1) of the U. P. Sales Tax Act 1948 (hereinafter to be referred to as the Act). The question referred for the opinion of the High Court was :

(2.) THE assessee's contention was that in view of the Notification No. S. T. 1365/X-990-1956 dated April 1, 1960, the turnover relating to Khandsari sugar manufactured in the State was liable to tax as from April 1, 1960 only at the point of sale by the manufacturer and that he not being a manufacturer was not liable to pay any sales tax. On the other hand it was contended on behalf of the Department that in view of Section 3 of the Act the assessee was liable to pay Sales-tax in respect of his dealings in Khandsari sugar.

(3.) MR. Karkhanis, the learned counsel for the appellant, relied on certain decisions rendered by some of the High Courts, namely, Irri Veera Raju v. The Commercial Tax Officer, Tadapalligudem, (1967) 20 STC 501 (Andh Pra), Ramalakshmana and Co. v. State of Madras, (1968) 21 STC 35 (Mad) and Commissioner of Sales Tax v. Ganga Ram Ghuray Lal, (1971) 27 STC 109 (All). None of those decisions have any bearing on the point in issue in this case. If at all, the ratio of the decision in Irri Veera Raju's case (supra) runs counter to the arguments advanced on behalf of the appellant.