Separately charged delivery-related charges excluded from purchase price, while unsegregated charges remain taxable under sales tax law.

Separately charged tulai, being a delivery-related expense, is excluded from purchase price and taxable turnover under the U.P. Sales Tax Act; where it is not separately charged, it forms part of purchase price and is taxable. The question of interest was left open because it depended on the taxability of tulai, and the matter was remitted for fresh disposal.

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Issues: Whether tulai charges form part of the purchase price and taxable turnover under the U.P. Sales Tax Act, and whether such charges are taxable when separately charged.

Analysis: Section 2(gg) of the U.P. Sales Tax Act defines purchase price to include sums charged for things done by the seller in respect of the goods before or at delivery, excluding freight, delivery, and installation charges when separately charged. On that basis, tulai was treated as a delivery-related charge. The Court held that where tulai is separately charged in respect of each transaction, it is entitled to exemption from tax, but where it is not separately charged it falls within purchase price and taxable turnover. The question of interest was left open because it depended on the taxability of tulai.

Conclusion: Tulai charges are not invariably taxable and are exempt when separately charged as delivery charges, but are otherwise includible in purchase price and taxable turnover; the matter was remitted for fresh disposal.

Ratio Decidendi: A separately charged delivery-related expense is excluded from purchase price and taxable turnover, but an unsegregated charge of that nature is taxable under the sales tax definition.

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