Purchase tax turnover includes transport charges and agent commission when paid as part of the same procurement transaction.

For purchase tax under section 6-A of the Andhra Pradesh General Sales Tax Act, transportation charges and an agent's commission were part of the consideration paid for procuring raw materials and therefore formed part of turnover. The dealer bought goods through agents who arranged procurement and delivery to the factory, and the composite payment represented the purchase price on the admitted facts. Because the transport and commission amounts were necessary to complete the same purchase transaction, they were not separable post-purchase expenses. The authorities and High Court erred in excluding those components, and the amounts were liable to tax as turnover.

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Issues: Whether transportation charges and agent's commission paid for procurement and delivery of raw materials formed part of the turnover liable to purchase tax under section 6-A of the Andhra Pradesh General Sales Tax Act, 1957.

Analysis: The dealer purchased raw materials from unregistered dealers through agents who procured the goods, arranged transport to the factory, and received a composite consideration comprising the cost of raw materials, transportation charges, and commission. On the admitted facts, the entire amount paid to the agents represented the purchase price for obtaining the goods. The expenses incurred for procuring the raw materials and securing their delivery were part of the consideration for the purchase and therefore fell within the statutory concept of turnover. The charges were not post-purchase expenses separable from the transaction. The authorities and High Court erred in treating the transport and commission components as excluded from turnover.

Conclusion: The transportation charges and agent's commission were includible in the turnover and were liable to tax under section 6-A; the finding was against the assessee and in favour of the revenue.

Ratio Decidendi: For purchase tax purposes, all amounts that form part of the consideration paid for procuring goods, including amounts necessary for completing the purchase and delivery arranged as part of the same transaction, are includible in turnover, even if separately described as transport charges or commission.

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