B SEETHABAMAIAH Vs. ASSISTANT SALES TAX OFFICEE VII SUB CIRCLE BANGALOEE CITY

JUDGEMENT

(1.) In all these petitions filed under Article 226 of the Constitution of India, the legality of the levy of sales tax under the provisions of the Mysore Sales Tax Act on the turnover of Petitioners has been challenged. The turnover represents the amounts realised by sale of eatables and refreshments in hotels or restaurants kept by petitioners. Under Section 3 (a) of the Act the tax is payable on the annual turnover of every dealer.

(2.) Subsection (6) which at first prescribed the rate at which the tax is payable as three pies per rupee was altered by Act 25 of 1951 and now reads as follows: " (b) the tax shall be calculated at the following rates: <FRM>JUDGEMENT_402_ILR(MYS)_1956Html1.htm</FRM> Provided that if and to the extent to which such turnover relates to articles of food and drink sold in a hotel, boarding house, restaurant or canteen, the tax shall be calculated at the following rates: <FRM>JUDGEMENT_402_ILR(MYS)_1956Html2.htm</FRM>

(3.) Section 11 of the Act as amended states: