WARANGAL DISTRICT CO OPERATIVE MARKETING SOCIETY LIMITED Vs. STATE OF ANDHRA PRADESH

JUDGEMENT

(1.) This tax revision case is filed against the order of the Sales Tax Tribunal dated 31/03/1980, in T.A. No. 371 of 1979, confirming the order of the Appellate Assistant Commissioner and the Assistant Commercial Tax Officer revising the assessment in exercise of its power under sub-clause (cc) of clause (4) of section 14 of the Andhra Pradesh General Sales Tax Act, 1957, hereinafter called the Act.

(2.) M/s. The Warangal District Co-operative Marketing Society Limited, Warangal, is the assessee. For the year 1972-73, the society claimed exemption on the turnover of Rs. 6,37,938.81 on the ground that it represented secondary purchase of maize from the Food Corporation of India, Warangal. The assessing authority disallowed the claim in respect of Rs. 86,014.50. The order was made on 1 5/06/1976, and the same was served on the assessee shortly thereafter.

(3.) While so, on 20/03/1978, the Assistant Commercial Tax Officer served a notice on the assessee proposing to revise the assessment on the ground that exemption was wrongly granted in respect of a sum of Rs. 5,44,536.30 and that the same represented import purchases made by the Food Corporation of India. The assessee was given three days for submitting explanation. As the time was too short, the assessee did not furnish any explanation. As the time was too short, the assessee did not furnish any explanation. On 23/03/1978, the Assistant Commercial Tax Officer, the assessing authority, revised the assessment under section 14(4)(cc) of the Act and subjected the entire disputed turnover of Rs. 5,44,536.30 to tax which was assessed at Rs. 12,252.09 holding that the turnover represented sales of maize purchased from the Food Corporation of India, Warangal, who imported it from outside the State and as the assessee is the first purchaser in the State, the goods are taxable in his hands.